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Founders Metals Closes $5 Million Bought Deal Financing and Fully Exercised Over-Allotment Option
Vancouver, British Columbia--(Newsfile Corp. - November 28, 2023) - Founders Metals Inc. (TSXV: F...
About this update from Founders Metals, Inc.
[{"type":"text","content":"Founders Metals Closes $5 Million Bought Deal Financing and Fully Exercised Over-Allotment OptionVancouver, British Columbia--(Newsfile Corp. - November 28, 2023) - Founders Metals Inc. (TSXV: FDR) (FSE: 9DL0) (\"Founders\" or the \"Company\") is pleased to announce the closing of its previously-announced bought deal private placement offering of 7,187,500 common shares of the Company (the \"Offered Shares\") at a price of $0.80 per Offered Share for aggregate gross proceeds of $5,750,000 (the \"Offering\"), including the full exercise of the 15% over-allotment option granted to the Underwriters (as defined herein) in connection with the Offering. The Offering was led by BMO Nesbitt Burns Inc., as lead underwriter, on behalf of a syndicate of underwriters, including Paradigm Capital Inc. and Clarus Securities Inc. (collectively, the \"Underwriters\").Colin Padget, Founders' President & CEO, stated, \"We are very pleased to successfully close this C$5.75 million financing. Founders is now in an excellent position to expand its exploration and drilling programs at Antino, with up to 30,000 m planned for 2024.\" The Company intends to use the net proceeds of the Offering for ongoing exploration activities on the Antino Gold Project and for general corporate purposes.In consideration for the services provided to the Company by the Underwriters in connection with the Offering, the Company paid to the Underwriters a cash fee of $345,000 equal to 6.0% of the aggregate gross proceeds of the Offered Shares sold under the Offering. The Company also paid a cash commission finder's fee in the amount of $3,000 to Richardson Wealth Limited.The securities issued under the Offering will be subject to a hold period under applicable securities laws in Canada expiring four months and one day after the closing of the Offering. The Offering is subject to final acceptance of the TSX Venture Exchange. None of the Offered Shares have been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawfu...