Blackrock Gold closes upsized $10.35 million bought deal financing

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Blackrock Gold Corp. [BRC-TSXV; BKRRF-OTC; AHZ-FSE] closed its previously announced and upsized bought deal public offering, which includes full exercise of the overallotment option. Under the Offering, a total of 14,375,000 units of the company at a price of C$0.72 per unit were sold on a “bought deal” basis for gross proceeds of C$10,350,000. Each unit is comprised of one common share and one half of one common share purchase warrant. Each whole warrant is good to buy one common share at a price of C$1.10 for three years after the closing date of the Offering.

The Offering was led by Red Cloud Securities Inc. as lead underwriter and sole bookrunner on behalf of a syndicate of underwriters that included Canaccord Genuity Corp., Mackie Research Capital Corporation and PI Financial Corp.

Due to investor demand, as previously disclosed, the Offering was upsized from C$7.02 million. The units were offered and sold by way of a short form prospectus filed in all of the provinces of Canada, with the exception of Quebec, and was offered and sold outside of Canada on a private placement basis.

Net proceeds raised from the Offering will be used to fund the exploration of the company’s Tonopah West and Silver Cloud properties in Nevada and for working capital and general corporate purposes.

In connection with the Offering, the underwriters received a total cash commission of C$586,877.76 and 419,402 non-transferable broker warrants, each entitling the underwriters to purchase one share at a price of C$0.72 per share until February 19, 2024.


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