- Erdene Resource Development Corporation (ERD) has completed its non-brokered private placement, raising $7,000,248
- The previously-announced non-brokered private placement was led by $3.4 million investment from Eric Sprott
- Erdene sold 25,926,844 units at a price of $0.27 per unit
- Erdene Resource Development Corp. is a Canada-based resource company
- Erdene Resource Development Corporation opened trading at $0.295
Erdene Resource Development Corporation (ERD) has completed its non-brokered private placement, raising $7,000,248.
The previously-announced non-brokered private placement was led by $3.4 million investment from Eric Sprott.
“We are pleased to close this financing led by Mr. Sprott, preparing us for a transformational year in 2023,” said Peter Akerley, Erdene’s President and CEO.
“These funds will allow us to complete preparatory works for our Bayan Khundii Gold Project and continue to grow ounces in our Khundii Gold District,” he added.
Erdene sold 25,926,844 units at a price of $0.27 per unit. Each unit consists of one common share and one-half of one common share purchase warrant.
Warrants are exercisable by the holder into one common share of the Company within two years of the closing date, at a price of $0.40 per share.
The company plans to use the proceeds of the private placement to fund exploration, early development works for the company’s Bayan Khundii Gold Project, and for general working capital purposes.
Sprott, through 2176423 Ontario Ltd., a corporation which is beneficially owned by him, acquired 12,530,955 units in the private placement for aggregated consideration of $3,383,357.85.
Following the acquisition, Sprott beneficially owns and controls 61,225,488 shares and 9,598,827 warrants, representing approximately 17.8 per cent of the issued and outstanding shares of the company on a non-diluted basis.
Erdene Resource Development Corp. is a Canada-based resource company focused on the acquisition, exploration, and development of precious and base metals in Mongolia.
Erdene Resource Development Corporation opened trading at $0.295.