The previously announced C$100-million bought deal private placement offering of 13.35-million subscription receipts of Osisko Development Holdings at a price of C$7.50 each has closed.
Precious metals royalty company Osisko Gold Royalties earlier this month announced the creation of a new North American gold development company to advance the Cariboo project, in British Columbia, along with other Canadian and Mexican properties.
At the time, it entered into an agreement to transfer certain mining assets, including Cariboo, and a portfolio of marketable securities valued at C$116-million to TSX-V-listed Barolo Ventures in a reverse takeover (RTO) transaction.
As part of the RTO transaction, the companies entered into an engagement letter with Canaccord Genuity and National Bank Financial, on behalf of a syndicate of underwriters, for the C$100-million bought-deal private placement offering.
The net proceeds of the offering will be used for the development of the Cariboo project and the San Antonio gold project, once the RTO closes.