TORONTO – Osisko Mining
is having great success raising money as results from its gold exploration projects keep getting better and better. Early on the morning of August 29, the company said it would raise $50 million through the sale of flow-through shares. Shortly after lunchtime, it added common shares to the offering for another $30 million. That’s $80 million worth of demand for Osisko Mining shares.
The $50-million part of the offering involves the sale of 7.4 million flow-through shares in two tranches. First, 5.77 million shares would be sold at an issue price of $6.93 each, followed by a second tranche of 1.63 million flow-through shares priced at $6.14 each.
The flow-through portion of the offering is underwritten by a syndicate led by Canaccord Genuity. The underwriters have been granted an over-allotment of 15% for each of the two tranches.
In addition to the flow-through shares, Osisko is issuing 7.14 million common shares at a price of $4.20 each for gross proceeds of slightly more than $30 million. Again, the underwriters have been granted a 15% over-allotment option.
Osisko Mining announced on Aug. 28 that it is doubling the current drill program to 800,000 metres at its Windfall gold property in Quebec’s Urban Twp. Recent drill results included379 g/t gold over 2.0 metres including 1,250 g/t over 0.6 metre.
Details of the offering are available at www.OsiskoMining.com.