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Snowline Gold Announces C$25.0 Million Bought Deal Private Placement of Flow-Through Shares
VANCOUVER, BC, April 3, 2024 /CNW/ - Snowline Gold Corp. (TSX-V: SGD) (OTC: SNWGF) ("Snowline" or the "Company") is pleased to announce that it has entered into
About this update from Snowline Gold Corp.
[{"type":"text","content":" VANCOUVER, BC, April 3, 2024 /CNW/ - Snowline Gold Corp. (TSX-V: SGD) (OTC: SNWGF) (\"Snowline\" or the \"Company\") is pleased to announce that it has entered into an agreement pursuant to which Cormark Securities Inc. and BMO Capital Markets, as co-lead underwriters, on behalf of a syndicate of underwriters (collectively, the \"Underwriters\"), have agreed to purchase, on a \"bought deal\" private placement basis, 3,205,000 \"flow-through\" shares of the Company (the \"Charity FT Share\") at a price of $7.80 per Charity FT Share (\"Offering Price\") for gross proceeds of $24,999,000 (the \"Offering\"). Each Charity FT Share will qualify as a \"flow-through share\" (within the meaning of subsection 66(15) of the Income Tax Act (Canada)). The Underwriters will have the option, exercisable in whole or in part at any time up to 48 hours prior to the closing of the Offering, to arrange for the purchase of up to that number of Charity FT Shares at the Offering Price as is equal to 15% of the number of securities issued in connection with the Offering. The Company will use an amount equal to the gross proceeds received by the Company from the sale of the Charity FT Shares, pursuant to the provisions in the Income Tax Act (Canada), to incur eligible \"Canadian exploration expenses\" that qualify as \"flow-through mining expenditures\" as both terms are defined in the Income Tax Act (Canada) (the \"Qualifying Expenditures\") related to the Company's projects in the Yukon Territory, on or before December 31, 2025, and to renounce all the Qualifying Expenditures in favour of the subscribers of the Charity FT Shares effective December 31, 2024. The Offering is expected to close on or about April 25, 2024, or such other date as the Company and the Underwriters may agree and is subject to certain conditions including, but not limited to, the receipt of all necessary regulatory and other approvals including the acceptance of the TSX Venture Exchange. The securities offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, or any state securities law, and may not be offered, sold or delivered, directly or indirectly, within the United States, or to or for the account or benefit of U.S. persons, absen...