On December 3, 2020, Kirkland Lake Gold Ltd. completed the sale of 18,450,000 units at a price of $2.45 per unit, for gross proceeds to Kirkland Lake Gold of approximately $45.20 million. Each unit was comprised of one common share of Novo Resources Corp. owned by Kirkland Lake Gold and 0.5 of a common share purchase warrant of Kirkland Lake Gold. Each whole warrant entitles the holder thereof to purchase one additional common share of Novo owned by Kirkland Lake Gold on or before December 3, 2021, at an exercise price of $2.80. In the event all warrants are exercised, an additional $25.83 million will be paid to Kirkland Lake Gold, for total gross proceeds under the sales transaction of approximately $71 million.
The units were sold on behalf of Kirkland Lake Gold through Stifel GMP and Clarus Securities Inc. The shares were sold through block trades in Canada and the warrants were issued on a private placement basis.
Cassels acted for Kirkland Lake Gold with a deal team that included Jamie Litchen and Jonathan Chandler (Securities and Mining).