On March 24, 2022, Lahontan Gold Corp. and 1246765 B.C. Ltd. closed a best efforts private placement of 8,888,889 subscription receipts at a price of $0.45 per subscription receipt for gross proceeds of approximately $4 million.
Each subscription receipt entitles the holder to one underlying unit of Lahontan, with each underlying unit comprised of one common share of Lahontan and one-half of one common share purchase warrant of Lahontan. Each common share purchase warrant entitles the holder to acquire one additional common share of Lahontan at a price of $0.65 at any time during the period ending 24 months following the conversion of the subscription receipts. The offering was completed in connection with the proposed business combination transaction whereby 1246765 B.C. Ltd. will acquire all of the issued and outstanding common shares of Lahontan by way of a “three-cornered amalgamation”.
The offering was conducted with Beacon Securities Limited acting as lead agent and sole bookrunner on behalf of a syndicate of agents, including Canaccord Genuity Corp.
Cassels acted for the agents.