Artemis Announces Up to $156 Million Equity Financing
All amounts are in Canadian Dollars unless otherwise noted
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
VANCOUVER, British Columbia, May 10, 2021 (GLOBE NEWSWIRE) -- Artemis Gold Inc. (TSX-V: ARTG) ("Artemis" or the "Company") is pleased to announce that it has entered into an agreement with a syndicate of underwriters co-led by National Bank Financial and BMO Capital Markets (collectively, the "Underwriters") under which the Underwriters have agreed to buy on bought deal basis 16,394,000 common shares (the "Common Shares"), at a price of $6.10 per Common Share (the “Offering Price”) for gross proceeds of approximately $100,003,400 (the "Bought Deal Offering").
The Company is also undertaking a non-brokered private placement (the “Non-Brokered Offering” and together with the Bought Deal Offering, the “Offering”) whereby up to 9,200,000 Common Shares will be issued to insiders of the Company and to a president’s list, at the Offering Price, for gross proceeds of up to $56,120,000.
The Common Shares issuable under the Bought Deal Offering will be offered pursuant to a prospectus supplement (the “Supplement”) to the Company's base shelf prospectus dated January 12, 2021. The terms of the Bought Deal Offering will be described in the Supplement which will be filed with the securities regulators in each of the provinces and territories of Canada, other than Québec, and the Common Shares may also be offered by way of private placement in the United States.
In respect of the Bought Deal Offering, 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 Bought Deal Offering to cover over-allotments, if any.
The Bought Deal Offering is expected to close on May 19, 2021 and the Non-Brokered Offering is expected to close on or before May 31, 2021. The closing of the Offering is subject to certain conditions, including but not limited to, the Company receiving the approval of the TSX Venture Exchange.
The net proceeds of the Offering will be used to make its final cash acquisition payment to New Gold Inc. pursuant to an Asset Purchase Agreement dated June 9, 2020 between Artemis and New Gold Inc., fund permitting and development costs for the Company’s Blackwater Gold Project and for general corporate purposes.
The Common Shares offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the 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 Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.