Business
White Gold Corp. Announces C$15 Million Bought Deal Financing; Agnico Eagle Mines and Kinross Gold Corp Each Maintain Approximate 19.6% Interest
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE SERVICES TORONTO, Oct. 16, 2018 (GLOBE NEWSWIRE) -- White Gold Corp. (TSX.V: WGO) (t
About this update from White Gold Corp.
[{"type":"text","content":" NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE SERVICES TORONTO, Oct. 16, 2018 (GLOBE NEWSWIRE) -- White Gold Corp. (TSX.V: WGO) (the \"Company\") is pleased to announce that it has entered into an agreement pursuant to which Clarus Securities Inc. on its own behalf and on behalf of a syndicate of underwriters (collectively, the “Underwriters”) have agreed to purchase, on a bought deal basis, 3,333,333 common shares (“Common Shares”) and 5,000,000 flow-through common shares (the “Flow-Through Shares”) at a price of C$1.50 per Common Share and C$2.00 per Flow-Through Share, to raise aggregate gross proceeds of C$15million (the “Offering”). The gross proceeds from the sale of the Flow-Through Shares will be used by the Company to incur exploration expenditures on its properties in the White Gold District of the Yukon Territory (the “Qualifying Expenditures”) prior to December 31, 2019. The Qualifying Expenditures will be renounced to subscribers of Flow-Through Shares for the fiscal year ended December 31, 2018. The gross proceeds from the sale of the Hard Shares will be used for general corporate expenses. The Flow-Through Shares to be issued under the Offering will be offered by way of a short form prospectus in the provinces of British Columbia, Alberta and Ontario, and the Common Shares to be issued under the Offering will be offered by way of private placement in Canada and such other jurisdictions as may be determined by the Company and the Underwriters. Pursuant to existing investor rights agreements between the Company and each of Agnico Eagle Mines Limited (“Agnico”) and Kinross Gold Corp (“Kinross”), both Agnico and Kinross have the right to participate in the Offering in order to maintain their respective approximate 19.6% interests in the Company. Agnico and Kinross have both indicated to the Company that they will maintain their interests in this regard by purchasing Common Shares in the Offering. The Offering is scheduled to close on or about November 8, 2018 (the “Closing Date”) and is subject to certain conditions, including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange (the “TSXV”). The Underwriters will receive a cash commission equal to 6.5% of the gross proceeds from th...