Klondex Mines Announces $14 Million Bought Deal Financing

Klondex Mines Ltd. (TSX:KDX) has entered into an agreement with a syndicate of underwriters led by GMP Securities L.P. and also including RBC Dominion Securities Inc., M Partners Inc., Industrial Alliance Securities Inc., Dundee Securities Ltd. and Mackie Research Capital Corporation. The syndicate of underwriters has agreed to purchase, on a bought deal basis, 7,000,000 common shares of Klondex at a price of C$2 per Share, for aggregate gross proceeds of C$14 million. The underwriters will also have the option, exercisable in whole or in part at any time up to thirty days after the offering closes to purchase up to an additional 1,050,000 shares in order to cover the underwriters’ over-allotment position. If the option is exercised in its entirety, aggregate gross proceeds from the Offering will amount to C$16,100,000.

As quoted in the press release:

The net proceeds of the Offering are expected to be used for the accelerated exploration and development at the Midas Gold project and Fire Creek gold project and for working capital and general corporate purposes. The Shares will be offered by way of a short form prospectus to be filed in all of the provinces of Canada (other than the Province of Quebec) pursuant to National Instrument 44-101 Short Form Prospectus Distributions and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended.

Click here to read the Klondex Mines (TSX:KDX) press release
Click here to see the Klondex Mines (TSX:KDX) profile.

Get the Latest Gold Investing Stock Information

Get the latest information about companies associated with Gold Investing delivered directly to your inbox.

Gold Mine Development
Gold Production/Mining
Gold Project Generators
Gold Prospecting and Exploration
Gold Resource Definition/Pre Feasibility
Gold Resource Expansion/Feasibility Study/PEA
Other Companies

By selecting company or companies above, you are giving consent to receive email from those companies. And remember you can unsubscribe at any time.

Gold Outlook Report - Late 2017!

Get your FREE Updated Gold Outlook Report. Includes expert commentary, production numbers and gold stocks to keep an eye on.

Click here to get your free report!

Leave a Reply