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) is a gold and silver producer with operations in Nevada, Canada, Mexico and Argentina. McEwen Mining also holds a 48.3% interest in McEwen Copper, which is developing the large, advanced-stage Los Azules copper project in Argentina. The Company's goal is to improve the productivity and life of its assets with the objective of increasing the share price and providing a yield. Rob McEwen, Chairman and Chief Owner, has a personal investment in the Company of US$225 million.
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