Business
Northern Dynasty Minerals Increases Previously Announced Bought Deal to US$30.7 Million
VANCOUVER, BC / ACCESSWIRE / July 10, 2020 / Northern Dynasty Minerals Ltd. (TSX:NDM)(NYSE American:NAK) ("Northern Dynasty" or the "Company") announces that it
About this update from Northern Dynasty Minerals Ltd.
[{"type":"text","content":" VANCOUVER, BC / ACCESSWIRE / July 10, 2020 / Northern Dynasty Minerals Ltd. (TSX:NDM)(NYSE American:NAK) (\"Northern Dynasty\" or the \"Company\") announces that it has increased the size of its previously announced bought deal offering to 21,000,000 common shares of the Company (the \"Offered Shares\") at the price of US$1.46 per Offered Share (the \"Issue Price\") for aggregate gross proceeds of approximately US$30.7 million (the \"Offering\"). The Offering will be completed pursuant to an agreement entered into among the Company and Cantor Fitzgerald Canada Corporation, as lead underwriter and sole book-runner on behalf of itself and a syndicate of underwriters (collectively, the \"Underwriters\"). In addition, Northern Dynasty has agreed to grant to the Underwriters an over-allotment option (the \"Over-Allotment Option\") exercisable, in whole or in part, in the sole discretion of the Underwriters to purchase up to an additional 3,150,000 Offered Shares at the Issue Price for a period of up to 30 days after the closing of the Offering for potential gross proceeds to the Company of up to approximately US$4.6 million. The Company has agreed to pay the Underwriters a cash commission equal to 5.0% of the gross proceeds of the Offering, including proceeds received from the exercise of the Over-Allotment Option, at the closing of the Offering. The Offering is expected to close on or about July 15, 2020 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange and the NYSE American. Anticipated uses of the proceeds of the Offering are to fund activities in connection with the advancement of the development of the Pebble Project, including (i) ongoing work with Alaska and federal regulatory agencies, (ii) maintaining an active corporate presence in Alaska by continuing to build relationships with both federal and Alaska state governments and agencies and Native Corporations and communities, (iii) commencement of the Alaska state permitting process, (iv) maintenance of the Pebble claims in good standing, (v) ongoing discussions and possible negotiations to secure a potential project partner or partners, and (vi) general corporate purposes. The Offering will be made by way of a prospectus supplement (the \"Prospectus Supplement\") t...