Things are heating up again in the Canadian resource space, particularly in the gold sector. Osisko Mining (TSX: OSK) announced this morning that it will be conducting a $150 million bought deal financing, with Canaccord Genuity Corp and Eight Capital acting as co-lead underwriters.
Under the terms of the financing, the company will see 41,100,000 units sold at a price of $3.65 per unit. Each unit consists of one common share and one half warrant, with an exercise price of $5.25 for a period of 18 months from the close of the transaction. Gross proceeds are expected to be $150 million.
An over allotment option also exists, for up to 7.4 million additional units, which would provide Osisko with an additional $27.0 million in funding. Proceeds from the financing are to be utilized to advance Osisko’s high grade gold project in Quebec, along with working capital and general corporate purposes.
Sponsored · Cambria Gold Mines
The offering is expected to close by June 23, 2020.
Osisko Mining last traded at $3.89 on the TSX.
Information for this briefing was found via Sedar and Osisko Mining. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
