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Rupert Resources Closes Equity Financings Totalling C$25.6 Million
TORONTO- (BUSINESS WIRE)-- Rupert Resources Ltd. (“Rupert Resources” or the “Company”) reports that it has closed the previously announced concurrent equity fin
About this update from Rupert Resources Ltd.
[{"type":"text","content":"TORONTO- (BUSINESS WIRE)-- Rupert Resources Ltd. (“Rupert Resources” or the “Company”) reports that it has closed the previously announced concurrent equity financings raising a total of C$25,600,000. The financings comprised two components: a bought deal equity offering (the “Public Offering”); and a private placement (the “Private Placement”) with existing shareholders, including Agnico Eagle Mines Limited (“Agnico Eagle”). A total of 5,295,999 common shares in the capital of the Company (the “Common Shares”) were issued pursuant to the Public Offering at a price of C$3.20 per Share (the “Offering Price”) for gross proceeds of approximately C$16,947,197, which includes the exercise, in full, of the underwriter’s over-allotment option of an additional 690,782 Common Shares. The Public Offering was conducted by BMO Capital Markets. The Public Offering was completed pursuant to a short form prospectus dated July 21, 2020 (the “Prospectus”) in British Columbia, Alberta, Ontario and Newfoundland and Labrador, and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) and applicable state securities laws. The Public Offering and the Private Placement remain subject to the final approval of the TSX Venture Exchange. Rupert Resources also issued 2,704,001 Common Shares at the Offering Price in a concurrent Private Placement on substantially the same terms as the Public Offering (for gross proceeds of C$8,652,803), which includes 352,697 Common Shares pursuant to the option granted to the Private Placement participants to purchase additional Common Shares representing up to 15% of the number of Common Shares subscribed by each of them. Agnico Eagle exercised its participation right to subscribe for 791,500 Common Shares, retaining a 14.9% interest in the Company on a fully diluted basis (when including 11,543,704 common share purchase warrants exercisable at C$1.00 per Common Share acquired by Agnico Eagle in February 2020 as previously disclosed). The issuance of the Common Shares to Agnico Eagle constitutes a related-party transaction under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Private Placement is exempt from the formal val...