Aya Gold & Silver Secures New Financing to Propel Growth
Aya Gold & Silver Announces Financing Through Prospectus Supplement
Aya Gold & Silver Inc. (TSX: AYA; OTCQX: AYASF), a prominent player in silver production, has made significant strides with the filing of a prospectus supplement pertaining to its previously disclosed equity financing. This financial maneuver paves the way for future growth and expansion, establishing Aya as a key figure in the mining sector.
Details of the Offering
On June 12, 2025, Aya Gold & Silver disclosed the filing of its prospectus supplement to enhance its short form base shelf prospectus. This supplement revolves around a previously announced bought deal financing aiming to acquire 9,363,300 common shares at a price of $13.35 each, resulting in gross proceeds of $125 million. Such a substantial influx of capital underscores the confidence investors have in the company’s strategic direction.
Underwriters Participation and Optionality
The offering, orchestrated by Desjardins Capital Markets as the sole bookrunner, includes support from a syndicate of underwriters including National Bank Financial Inc. and BMO Capital Markets. Significantly, the company has granted an over-allotment option to the underwriters, allowing them to purchase up to an additional 15% of the shares, which could yield an additional $18.75 million if fully exercised. This move highlights the robustness of the company’s market engagement and its commitment to maximizing shareholder value.
Utilization of Proceeds
Proceeds from the offering will be strategically directed towards advancing Aya Gold & Silver's exploration initiatives at key sites such as Boumadine and Zgounder. These efforts are critical as they bolster the company’s mission to explore and develop high-grade silver resources in Morocco. Additionally, the company plans to allocate funds for general corporate purposes, underscoring a balanced approach to financial management.
Closing Timeline and Regulatory Compliance
The closing date for this offering is anticipated around June 18, 2025, contingent on the necessary regulatory approvals, including those from the Toronto Stock Exchange. This timeline is pivotal as the company prepares to execute its strategic growth plans efficiently.
Access to Documentation
Aya Gold & Silver ensures that all relevant documents, including the supplement and the base prospectus, are easily accessible in compliance with securities legislation. Interested parties can find these documents on SEDAR+, allowing for transparency in the company’s operations and financial strategies.
Company Overview
Aya Gold & Silver Inc. stands as the only public silver mining entity in Canada, with a focused operation in Morocco. The company’s flagship Zgounder Silver Mine is a testament to its commitment to sustainable and responsible mining practices.
Aya's strategic position is enhanced by its management focus on critical planning and sustainability, aiming to maximize shareholder value while ensuring responsible governance. The company explores extensive properties across the South-Atlas Fault, an area promising historical resources and potential for high-grade finds.
The dedication of Aya Gold & Silver to enhance its operations aligns with its broader objective of contributing positively to the community and stakeholders involved.
Frequently Asked Questions
What is the purpose of the prospectus supplement filed by Aya Gold & Silver?
The prospectus supplement outlines the company's plans for a bought deal financing to raise capital for growth initiatives in silver production and exploration activities.
How much capital does Aya Gold & Silver aim to raise through the offering?
The company aims to raise approximately $125 million through the sale of 9,363,300 common shares, with additional proceeds possible through an over-allotment option.
What will the proceeds from this financing be used for?
Funds are primarily intended for advancing exploration projects at Boumadine and Zgounder, as well as for general working capital and corporate purposes.
Who are the key underwriters involved in this financing?
Desjardins Capital Markets serves as the sole bookrunner, with support from National Bank Financial Inc. and BMO Capital Markets as co-lead underwriters.
When is the expected closing date of the offering?
The closing date is anticipated to occur around June 18, 2025, pending regulatory approvals.
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