TORONTO (miningweekly.com) – Canadian silver miner Excellon Resources on Tuesday announced that it had increased a previously announced C$10-million bought deal financing lead by Cantor Fitzgerald Canada to C$13.25-million.
The Toronto-based company that operates Mexico’s highest-grade silver mine, the La Platosa mine, said it would increase the offering to 11.52-million units priced at C$1.50 apiece.
Each unit would comprise one common share and one-half of one common share purchase warrant, with each whole warrant entitling the holder to acquire a further common share of the company at a strike price of C$1.75 apiece for a period of 24 months following closing.
Excellon had agreed to grant the underwriters an overallotment option to increase the size of the offering by up to a further 15% at any time up to 30 days after closing. Should the overallotment option be exercised, the offering’s gross proceeds could rise to C$15.2-million.
Excellon planned to use the net proceeds of the offering to fund accelerated exploration at the Platosa project, for capital expenditures at the Platosa mine and the Miguel Auza mill, for working capital expenses, and for general corporate purposes.
Meanwhile, Vancouver-based junior project developer Lithium X also on Tuesday said a private placement offering announced on June 30 had now been increased by a further 1.06-million shares at C$1.65 each, for proceeds of $1.75-million, bringing the total gross proceeds to C$10-million, pending TSX-V approval.