Business
Osisko Metals Closes C$12.7 Million "Bought Deal" Private Placement of Flow-Through Shares and Units, Including Exercise of Underwriters' Option
MONTREAL, June 16, 2022 (GLOBE NEWSWIRE) -- Osisko Metals Incorporated (the "Corporation" or "Osisko Metals") (TSX-V: OM; OTCQX: OMZNF; FRANKFURT: OB51) is plea
About this update from Osisko Metals Incorporated
[{"type":"text","content":" MONTREAL, June 16, 2022 (GLOBE NEWSWIRE) -- Osisko Metals Incorporated (the \"Corporation\" or \"Osisko Metals\") (TSX-V: OM; OTCQX: OMZNF; FRANKFURT: OB51) is pleased to announce that it has closed its previously-announced \"bought deal\" brokered private placement offering (the \"Offering\") of an aggregate of (i) 4,600,000 common shares of the Corporation that will qualify as \"flow-through shares\" (within the meaning of subsection 66(15) of the Income Tax Act (Canada)) (\"Flow-Through Shares\") at an issue price of C$0.50 per Flow-Through Share, and (ii) 19,166,667 units of the Corporation (\"Flow-Through Units\") at an issue price of C$0.54 per Flow-Through Unit, for aggregate gross proceeds of approximately C$12.7 million, including the partial exercise of the option granted to the Underwriters (as defined herein). Each Flow-Through Unit is comprised of one common share of the Corporation and one-half of one common share purchase warrant of the Corporation (each whole warrant, a \"Warrant\"), each of which will qualify as a \"flow-through share\" (within the meaning of subsection 66(15) of the Income Tax Act (Canada)). Each Warrant entitles the holder thereof to acquire one common share of the Corporation (each, a \"Warrant Share\") at a price of C$0.57 per Warrant Share for a period of 60 months following the closing date of the Offering. The Offering was led by Eight Capital, on behalf of itself and Haywood Securities Inc. (together, the \"Underwriters\"). The gross proceeds raised under the Offering will be used by the Corporation to, directly or indirectly, incur eligible \"Canadian exploration expenses\" (as such term is defined in the Income Tax Act (Canada)) that are intended to qualify for the \"critical mineral exploration tax credit\" announced in the 2022 Federal Budget delivered on April 7, 2022, provided the Corporation meets the requirements under applicable law once released by the Department of Finance (Canada) (or will otherwise qualify as \"flow-through mining expenditures\", as defined in the Income Tax Act (Canada)) (the \"Qualifying Expenditures\"). All Qualifying Expenditures will be renounced in favour of the subscribers of the Flow-Through Shares and Flow-Through Units effective December 31, 2022. In consideration for their services, the Underwriters were paid a cash commission equal to 6.5% of th...