Osisko Mining Conducts $150 Million Bought Deal Financing

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.

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.

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