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Probe Metals (TSXV:PRB) closes $20M bought deal private placement

Mining
TSXV:PRB
08 March 2022 11:30 (EDT)

Source: DigiGeoData

Probe Metals (PRB) has closed its previously announced bought deal private placement for aggregate gross proceeds of $20,770,000.

The company issued 6,700,000 flow-through units priced at $3.10 per FT unit. Each FT unit consists of one common share and one-half of one share purchase warrant. Each whole warrant entitles the holder to acquire one additional share at a price of $2.40 for a period of 24-months from the closing of the offering.

David Palmer, President and CEO of Probe commented on the capital raise.

“We are very pleased with the equity financing, and particularly the strong show of support for the oversubscribed offering. By utilizing the large flow-through premium for Quebec projects, we can continue our aggressive 2022 exploration program with less dilution to our shareholders. This year’s programs will expand on the success achieved in 2021 and advance our Val-d’Or East project further towards development while still capitalizing on exploration upside at both Val-d’Or and Detour. With the closing of the Offering, we have now approximately $50 million in treasury to complete these exploration initiatives. We are looking forward to 2022 and thank all of our shareholders for their support as we build one of the leading gold projects in Canada.”

Proceeds will be used to fund exploration of Probe’s projects in Québec.

The offering was led by Canaccord Genuity Corp. and included Sprott Private Partners, CIBC Capital Markets, BMO Capital Markets, iA Private Wealth, Research Capital Corporation and Laurentian Bank Securities.

The underwriters received a six per cent cash commission. All securities issued are subject to a four-month hold period.

Probe Metals is a Canadian gold exploration company focused on the acquisition, exploration and development of highly prospective gold properties.

Probe Metals Inc. (PRB) is up 6.98 per cent on the day, trading at C$2.30 per share at 11:30 am EST.

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