West Red Lake Gold Mines Increases Offering to $36 Million
West Red Lake Gold Mines Ltd. (“West Red Lake Gold” or “WRLG” or the “Company”) (TSXV: WRLG) (OTCQB: WRLGF) is thrilled to share that, owing to significant investor interest, they have reached an agreement with Raymond James Ltd. to bolster the size of their previously announced bought-deal financing.
Details of the Enhanced Financing Agreement
The adjustment means West Red Lake will now be issuing a total of 32,632,000 common shares at a price of C$0.95 per share. This adjustment results in gross proceeds of C$31,000,400 for the offering, bringing the total gross proceeds to an impressive C$36,001,200 when factoring in 3,760,000 charity-flow through shares priced at C$1.33 each.
Over-Allotment Option
In addition to the increased size of the offering, the Company has granted Raymond James an over-allotment option. This option allows the purchase of an additional 15% of the total number of common shares based on the original issue price. This flexibility is available for a duration of 30 days following the closing of the Offering, providing further opportunities for investors.
Use of Proceeds and Investor Interest
The terms regarding the utilization of these funds remain unchanged from those disclosed in the original announcement. With such high demand from investors, this offering reinforces the market's confidence in West Red Lake Gold's potential and future directives.
Profile of West Red Lake Gold Mines
West Red Lake Gold Mines Ltd. is a rising star in the gold mining industry, focusing its efforts on the Madsen Gold Mine and its promising 47 km² land package located within the famed Red Lake district in Ontario. This area is renowned for its prolific history, yielding over 30 million ounces of gold, bolstered by some of the richest gold deposits in the world.
Furthermore, WRLG owns the Rowan Property, adding another dimension to its portfolio with an area of 31 km², which includes three historical gold mines: Rowan, Mount Jamie, and Red Summit. The firm is poised to contribute significantly to the ongoing prosperity of the Red Lake region.
Management Commentary
Shane Williams, President & Chief Executive Officer of West Red Lake Gold, emphasizes the importance of this funding as a stepping stone toward achieving the Company's strategic goals. The strong backing from investors signifies robust confidence in the Company's vision and capabilities in tapping into gold exploration opportunities.
Contact Information
For more insights or inquiries, please reach out to:
Gwen Preston, Vice President Communications
Tel: (604) 609-6132
Email: investors@westredlakegold.com
Website: westredlakegold.com
Frequently Asked Questions
What is the total amount raised in the offering?
West Red Lake Gold has raised a total of C$36,001,200 through its offering.
Who is the sole underwriter for the offering?
Raymond James Ltd. is the sole underwriter for this financing deal.
What is the price per common share in the offering?
The common shares are priced at C$0.95 per share.
How many charity-flow through shares are being offered?
A total of 3,760,000 charity-flow through shares are part of the offering at a price of C$1.33 each.
What does this funding mean for West Red Lake Gold?
This funding is crucial for the company's exploration and development efforts and reflects strong investor confidence in its projects.
