Business
Metallic Minerals Completes $8 Million Bought Deal Private Placement with Canaccord
Not for distribution to United States news wire services or for dissemination in the United ...
About this update from Metallic Minerals Corp.
[{"type":"text","content":"Metallic Minerals Completes $8 Million Bought Deal Private Placement with CanaccordNot for distribution to United States news wire services or for dissemination in the United States VANCOUVER, BC / ACCESSWIRE / August 13, 2020 / Metallic Minerals Corp. (TSXV:MMG)(US OTC:MMNGF) (\"Metallic Minerals\" or the \"Company\") announced today that it has completed its previously announced private placement financing (the \"Offering\"). A total of 20 million units were sold at a price of $0.40 per unit for gross proceeds of $8 million. The Offering was led by Canaccord Genuity Corp. on behalf of a syndicate of underwriters including Red Cloud Securities Inc. and Mackie Research Capital Corporation (collectively, the \"Underwriters\").Each unit consisted of one common share and a half warrant. Each whole warrant is exercisable into a common share for 24 months at a price of $0.60.The net proceeds from the Offering are planned to be used for exploration and development activities on the Company's high-grade silver and gold projects and for general corporate purposes.Greg Johnson, CEO and Chairman of Metallic Minerals, commented: \"With the completion of this financing, we are well -positioned to accelerate our on-going exploration and drilling program at the Keno Silver project in the Yukon, the largest program in company history, as well as to advance our La Plata project in Colorado. We received strong participation from new institutional investors, resulting in an upsized and oversubscribed financing, and were pleased to have Eric Sprott's continued support with expanded ownership via his second investment into Metallic Minerals.\"The Company paid the Underwriters a cash commission of $435,000 and issued 1,087,500 broker warrants. Each broker warrant is exercisable, for a period of 24 months, into one common share on payment of $0.40.All securities issued pursuant to the offering are subject to a statutory hold period of four months plus a day from issuance in accordance with applicable Canadian securities laws.The Offering constitutes a related party transaction within the meaning of Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (\"MI 61-101\"), as insiders of the Company subscribed for an aggregate of 3,937,500 Units for $1,575,000. The Company relied on the exemptions in Section 5.5(...