Announces Closing of Financing
Toronto, Dec 21, 2018 AEST (ABN Newswire) - McEwen Mining Inc. (NYSE:MUX) (TSE:MUX) ("McEwen" or the "Company") is pleased to announce that it has closed its previously announced "bought deal" private placement of 6,634,000 common shares of the Company that will qualify as "flow-through shares" (within the meaning of subsection 66(15) of the Income Tax Act(Canada)) (the "Flow-Through Shares") at a price of US$2.26 (Cdn$3.02) per Flow-Through Share for total gross proceeds of US$15,000,000 (Cdn$20,034,680). The Offering was completed through a syndicate of underwriters led by Cantor Fitzgerald Canada Corporation as sole bookrunner and included BMO Capital Markets and TD Securities Inc.
McEwen intends to use the proceeds of the Offering exclusively for generative exploration activities to incur eligible "Canadian exploration expenses" that will qualify as "flow-through mining expenditures" (as such terms are defined in the Income Tax Act(Canada)) related to the Company's properties in the Timmins region of Ontario.
The securities issued pursuant to the Offering are subject to a statutory four-month hold period in accordance with applicable Canadian securities legislation and are restricted securities within the meaning of Rule 144 of the U.S. Securities Act of 1933, as amended.
This announcement does not constitute an offer to sell, or the solicitation of an offer to buy, the common stock. Neither the offer nor sale of the shares has been registered under the U.S Securities Act of 1933, as amended, or any applicable state securities law and the shares may not be offered for sale or sold unless registered under the Securities Act or pursuant to an exemption from the registration requirements.
About McEwen Mining Inc
McEwen Mining (NYSE:MUX) (TSE:MUX) has the goal to qualify for inclusion in the S&P 500 Index by creating a profitable gold and silver producer focused in the Americas. McEwen's principal assets consist of: the San José mine in Santa Cruz, Argentina (49% interest); the Black Fox mine in Timmins, Canada; the Fenix Project in Mexico; the Gold Bar mine in Nevada, currently under construction; and the large Los Azules copper project in Argentina, advancing towards development.
McEwen has approximately 345 million shares outstanding. Rob McEwen, Chairman and Chief Owner, owns roughly 23% of the shares.
McEwen Mining Inc