Business
Contact Gold Raises $4 Million in Public Offering
Vancouver, British Columbia--(Newsfile Corp. - May 22, 2019) - Contact Gold Corp. (TSXV: C) (...
About this update from Commodore Metals Corp.
[{"type":"text","content":"Contact Gold Raises $4 Million in Public OfferingVancouver, British Columbia--(Newsfile Corp. - May 22, 2019) - Contact Gold Corp. (TSXV: C) (the \"Company\" or \"Contact Gold\") is pleased to announce that it has completed its previously announced financing for aggregate gross proceeds of C$4,000,000 (the \"Offering\").Joint underwriters Raymond James Ltd. and Cormark Securities Inc., together with their U.S. affiliates Raymond James (USA) Ltd. and Cormark Securities (USA) Limited (collectively, the \"Underwriters\") purchased 20,000,000 common shares the Company (\"Common Shares\") at a price of $0.20 per Common Share the (\"Offering Price\").The Company granted to the Underwriters an option (the \"Over-Allotment Option\"), exercisable in whole or in part, at the sole discretion of the Underwriters, for a period of 30 days from and including the closing of the Offering, to purchase up to an additional 3,000,000 Common Shares at the Offering Price. If the Over-Allotment Option is exercised in full, the total gross proceeds to the Company would be $4,600,000. For further information about the Offering, refer to the Company's news releases dated April 10, 2019, and May 13, 2019.The Company intends to use the net proceeds of the Offering to undertake further drilling at Contact Gold's flagship Pony Creek project located in Elko County, Nevada, and for exploration expenditures on Contact Gold's other properties, as further detailed in the Prospectus Supplement and Offering Statement (each as defined below), which are both available under Contact Gold's issuer profile on SEDAR at www.sedar.comMatt Lennox-King, President & CEO, Contact Gold said, \"The additional support from our key shareholders will allow us to continue to push ahead with our aggressive exploration plans at our flagship Nevada gold project, Pony Creek.\" The Underwriters received a cash commission equal to 6% of the gross proceeds of the Offering, other than in respect of sales to president's list purchasers, on which they received a cash commission equal to 3%. The Offering was conducted (A) in Canada pursuant to a prospectus supplement (the \"Prospectus Supplement\") to the Company's short form base shelf prospectus dated October 24, 2018 filed in all of the provinces and territories of Canada, except for Québec (the \"Canadian Jurisdictions\"), and (B) ...