Marathon raises C$150m for Valentine construction
Toronto-based Marathon Gold has raised C$150-million in bought-deal financing to partially fund construction of its Valentine gold project, in Newfoundland and Labrador.
The company last week announced a formal decision to proceed to construction of the mine, which will now cost between C$470-million and C$490-million, compared with the initial C$305-million estimated in April 2021.
Marathon entered into an agreement with Canaccord Genuity, on behalf of a syndicate of underwriters, which will purchase, on a "bought deal" basis, 136 364 000 units, at C$1.10 each, for gross proceeds of C$150-million.
Each unit will consist of one common share of the company and one-half of one common share purchase warrant, which will entitle the holder thereof to acquire one common share of the company at C$1.35 for a period of 24 months.
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