Each subscription receipt issued entitles the holder to receive one unit of Osisko, each comprising one common share and one common share purchase warrant. The warrants are exercisable at a price of $6.00 per share for a period of five years following the date of issue.
Proceeds of the offering are expected to be used to advance the development of Osisko’s mineral assets: the flagship Cariboo gold project in central British Columbia and the San Antonio gold project in Sonora, Mexico.
Earlier this year, the company expanded its portfolio by acquiring the producing Trixie gold mine located in the Tintic mining district of central Utah.
Osisko Development’s stock jumped 15% by 12:15 p.m. EDT following the financing and NYSE listing news. The gold developer has a market capitalization of C$935.1 million ($737m).
