- Banyan Gold Corp. (BYN) has announced a non-brokered private placement for gross proceeds of up to $16.5 million
- The company will issue up to 16.2 million charity flow-through shares with each share priced at $0.63, 4.9 million flow-through shares for $0.55 per share, and 7.8 million shares for $0.45 each
- Proceeds will be used for advancing exploration work and general corporate purposes
- Banyan is expecting certain company insiders of to participate
- The private placement is expected to close within the next month
- Banyan Gold Corp. (BYN) is down 3.64 per cent and is trading at $0.53 per share as of 12:19 p.m. ET
Banyan Gold Corp. (BYN) has announced a non-brokered private placement for financing up to $16.5 million.
Banyan will offer up to 16.2 million charity flow-through shares with each share priced at $0.63, 4.9 million flow-through shares for $0.55 per share, and 7.8 million ordinary shares priced at $0.45 each.
The company stated it intends to use the net proceeds raised in from this deal to advance its exploration projects and for general corporate purposes.
Some of the upcoming work at Banyan’s AurMac Property include 60,000 metres of drilling, metallurgical test work, data collection for a resource update, and starting a preliminary economic assessment study for next year. It has already started drilling for this year with roughly 90 holes over 20,000 metres completed.
According to Banyan, it may end up paying a finder’s fee in cash, subject to all regulatory approvals. It is aiming to close the private placement within the next month.
Banyan is expecting certain company insiders of to participate in the private placement.
This participation would call for a related party transaction, but would be exempt from the formal valuation and minority shareholder approval requirements because neither the fair market value of the transaction details nor the consideration paid for exceed 25 per cent of the company’s market capitalization.
Banyan Gold Corp. (BYN) is down 3.64 per cent and is trading at $0.53 per share as of 12:19 p.m. ET.