Business
White Gold Corp. Closes C$10 Million Private Placement of Flow-Through Common Shares; Agnico Eagle Mines and Kinross Gold Corp Each Maintain 19.9% Interest
NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. WIRE SERVICES TORONTO, July 05, 2018 (GLOBE NEWSWIRE) -- White Gold Corp. (TSX.V:WGO) (OT
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, July 05, 2018 (GLOBE NEWSWIRE) -- White Gold Corp. (TSX.V:WGO) (OTC – Nasdaq Intl:WHGOF) (FRA:29W) (the \"Company\") has closed the brokered private placement of 10,526,720 common shares (the “Shares”) of the Company, issued on a flow-through basis, at a price of C$0.95 per Share, for aggregate gross proceeds of approximately C$10.0 million (the “Offering”). The Offering was conducted by a syndicate of agents, co-led by Clarus Securities Inc. and GMP Securities L.P. and including Primary Capital Inc., Canaccord Genuity Corp. and Sprott Private Wealth L.P. (collectively, the “Agents”). The gross proceeds of the Offering will be used by the Company to incur Canadian exploration expenses (the “Qualifying Expenditures”) on its properties in the White Gold District of the Yukon Territory prior to December 31, 2019. The Company will renounce the Qualifying Expenditures to subscribers of Shares for the fiscal year ended December 31, 2018. David D’Onofrio, Chief Executive Officer stated, “We are pleased to close this financing to maintain our strong financial position and continue to pursue our exciting exploration program focused on new discoveries in the White Gold district and increasing the size of our flagship Golden Saddle deposit. We would also like to thank all parties who have been instrumental in this financing as well as Agnico and Kinross for their continued support.” Following the Offering, Agnico Eagle Mines Limited (“Agnico”) will continue to hold approximately 19.9% of the Company and Kinross Gold Corp. (“Kinross”) will continue to hold approximately 19.9% of the Company. The Agents received a cash commission equal to 6.0% of the gross proceeds of the Offering, except with respect to Shares sold to certain strategic investors where the cash commission was equal to 2.0%. The Agents also received compensation options equal to 6.0% of the number of Shares sold under the Offering (each, a “Compensation Option”). Each Compensation Option entitles the Agents to purchase one Share at a price of C$0.95 per common share for a period of two years from the date of closing of the Offering. The Shares issued pursuant to the Offering (and any Shares issued upon exercise of the Compensation Options) are subject to a statutory hold period expi...