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New Found Gold Announces C$49 Million Bought Deal Financing and C$20 Million Private Placement: Continued Support with Lead Orders by Strategic Investor Eric Sprott
VANCOUVER, British Columbia, May 27, 2025 (GLOBE NEWSWIRE) -- New Found Gold Corp. (“ ...
About this update from New Found Gold Corp
[{"type":"text","content":"New Found Gold Announces C$49 Million Bought Deal Financing and C$20 Million Private Placement: Continued Support with Lead Orders by Strategic Investor Eric SprottThe Base Shelf Prospectus is accessible, and the Prospectus Supplement will be accessible within two business days, through SEDAR+\n\n\n\n VANCOUVER, British Columbia, May 27, 2025 (GLOBE NEWSWIRE) --\n \n New Found Gold Corp.\n \n (“\n \n New Found Gold\n \n ” or the “\n \n Company\n \n ”)(TSX-V: NFG, NYSE-A: NFGC) has announced today that it has entered into an agreement with BMO Capital Markets and SCP Resource Finance LP, on behalf of themselves and a syndicate of underwriters (collectively, the “\n \n Underwriters\n \n ”) led by BMO Capital Markets and SCP Resource Finance LP, under which the Underwriters have agreed to buy, on a bought deal basis, 21,400,000 charity flow-through common shares of the Company (the “\n \n Charity Flow-Through Common Shares\n \n ”) at a price of C$2.29 per Charity Flow-Through Common Share for aggregate gross proceeds of approximately C$49 million (the “\n \n Offering\n \n ”). The Company has granted the Underwriters an option, exercisable at the offering price up to 30 days following the closing of the Tranche 1 (as defined below), to purchase up to an additional 15% of the Charity Flow-Through Common Shares issued in connection with the Offering. Each Charity Flow-Through Common Share will qualify as a \"flow-through share\" within the meaning of subsection 66(15) of the\n \n Income Tax Act\n \n (Canada).\n \n\n Subsequent to the Offering, the Company also expects to complete a non-brokered private placement of up to 12,269,939 non-flow-through common shares (the “\n \n Common Shares\n \n ”) at a price of C$1.63 per Common Share of the Company for gross proceeds of approximately C$20 million (the “\n \n Private Placement\n \n ” and, together with the Offering, the “\n \n Financing\n \n ”). The Common Shares issued pursuant to the Private Placement will be subject to a statutory hold period of 4 months and one day. The Private Placement is subject to the Company receiving all necessary approvals, including shareholder approval and the approval of the TSX Venture Exchange (the “TSXV”) and authorization of the...