Premier Gold Mines Announces Increase To Previously Announced Overnight Marketed Financing And Final
THUNDER BAY, ON, February 12, 2020 – PREMIER GOLD MINES LIMITED (“Premier” or the “Company”) (TSX: PG) (OTCPK: PIRGF) is pleased to announce that, due to strong demand, the size of its previously announced offering (the “Offering”) has been increased to 25,335,000 common shares (“Offered Shares”) at a price of $1.50 per Offered Share (the “Offering Price”) for gross proceeds of $38,002,500. The Company has granted the underwriters an option, exercisable at the Offering Price for a period of 30 days following the closing of the Offering, to purchase up to 3,800,250 additional Offered Shares to cover over-allotments, if any. The Offering will be conducted through a syndicate of underwriters led by CIBC Capital Markets and Sprott Capital Partners LP, and including BMO Capital Markets, Scotiabank, Canaccord Genuity Corp., RBC Capital Markets, Cormark Securities Inc. and TD Securities Inc.
The net proceeds of the Offering are expected to be used by the Company for the development, expansion and working capital requirements of the Mercedes and South Arturo mines and the McCoy-Cove project, and for general corporate and working capital purposes and may also be used to reduce indebtedness under Premier’s revolving term credit facility.
The Offering is expected to close on or about February 28, 2020 and is subject to Premier receiving all necessary regulatory approvals, including the approval of the Toronto Stock Exchange. Closing of the Offering is conditional upon the concurrent closing of the proposed transaction with Orion described in the Company’s press release issued on February 11, 2020 and as described in the preliminary prospectus.
The Offered Shares will be offered by way of a short form prospectus in all of the provinces of Canada, except Quebec, and may also be offered by way of private placement in the United States.
The Offered Shares have not been, nor will they be, registered under the United States Securities Act of 1933, as amended (the “Securities Act”), 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 unless the Offered Shares are registered under the Securities Act or pursuant to an applicable exemption from the registration requirements of the Securities Act. This press release does not constitute an offer to sell, nor is it a solicitation of an offer to buy securities, nor shall there be any sale of securities in any state in the United States in which such offer, solicitation or sale would be unlawful.
Premier Gold Mines Limited is a gold-producer and respected exploration and development company with a high-quality pipeline of precious metal projects in proven, accessible and safe mining jurisdictions in Canada, the United States, and Mexico. Premier remains focused on creating a low cost, mid-tier gold producer through its two producing gold mines, South Arturo and Mercedes, and through future mine development opportunities at Hardrock in Ontario (Greenstone Gold JV) and at the McCoy-Cove Project in Nevada.
For further information, please contact:
Ewan Downie, President & CEO