MUX

McEwen Mining Announces US$22M Public Financing

Mcewen Mining Inc. has announced a public financing to fund exploration and development at the Fox Complex in the Timmins region of Ontario. The offering includes a US$10.0 million (CDN$13,650,890) offering of 643,000 flow-through common shares at a price of US$15.56 (CDN$21.23) and a US$12.0 million (CDN$16,384,900) offering of 890,000 flow-through common shares at a price of US$13.49 (CDN$18.41).

The total offering of 1,533,000 flow-through common shares is expected to generate aggregate gross proceeds of US$22.0 million (CDN$30,035,790), with the net proceeds after placement agents' fees anticipated to be US$20.9 million (CDN$28,534,000). The offering is expected to close on June 14, 2024, subject to customary closing conditions and approvals from the Toronto Stock Exchange and the New York Stock Exchange.

Cantor Fitzgerald Canada Corporation and Cantor Fitzgerald & Co. are leading the syndicate of placement agents for the offering. The offering is being made pursuant to a shelf registration statement on Form S-3 (file no. 333* 275324) and a preliminary and final multi-jurisdictional disclosure system prospectus (the "Canadian Base Shelf").

The company plans to use the proceeds exclusively for qualifying Canadian exploration expenses and Canadian development expenses, primarily focused on exploration drilling and the development of an underground access ramp from surface to mine the gold resources of Stock East and West at the Fox Complex.

This announcement represents the next area of production growth at the Fox Complex, indicating a significant investment in the development and exploration of gold resources in the region. The market has reacted to these announcements by moving the company's shares -1.2% to a price of $11.91. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

IN FOCUS