Reunion Gold Announces C$70 Million Bought Deal Financing

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

LONGUEUIL, Québec, Sept. 18, 2023 (GLOBE NEWSWIRE) -- Reunion Gold Corporation (TSXV: RGD; OTCQX: RGDFF) (the “Company”) has announced today that it has entered into an agreement with BMO Capital Markets, on behalf of a syndicate of underwriters (collectively, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, on a “bought deal” basis, 152,200,000 common shares in the capital of the Company (the “Common Shares”), at a price of C$0.46 per Common Share for gross proceeds of approximately C$70 million (the “Offering”). BMO Capital Markets and SCP Resource Finance will act as co-lead underwriters for this Offering, with BMO Capital Markets acting as sole bookrunner. The Company has granted the Underwriters an option, exercisable at the Offering price for a period of 30 days following the closing of the Offering, to purchase up to an additional 15% of the Offering to cover over-allotments, if any. The Offering is expected to close on or about September 26, 2023 and is subject to the Company receiving all necessary regulatory approvals.

The Company intends to use the net proceeds from the Offering for continued advancement of the Company’s Oko West Project in Guyana and for general corporate purposes.

The Common Shares will be offered by way of a prospectus supplement (the “Prospectus Supplement”) to the Company’s short form base shelf prospectus dated August 16, 2023, which Prospectus Supplement will be filed with the securities commissions and other similar regulatory authorities in each of the provinces of Canada, other than Québec.

The Common Shares being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.