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Marathon upsizes bought offering

5th May 2020

By: Creamer Media Reporter

     

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TSX-listed Marathon Gold, which owns the Valentine gold project in central Newfoundland, is amending the terms of its previously announced bought deal offering to upsize it to C$30-million.

Under the amended terms, Canaccord Genuity, Sprott Capital Partners and RBC Capital Markets, as co-lead underwriters, have agreed to purchase, on a bought deal basis, 20 000 000 units at C$1.50 each.

Each unit will comprise one common share of the company ‎‎and one half of one common share ‎purchase warrant of the company, entitling the holder to acquire one common ‎share at C$1.90 at any time on or before that date which is 12 months after the closing date.

In addition, the company will grant the underwriters an option to acquire up to an additional three-million units at a price of C$1.50 per underwriter option unit for additional gross proceeds of up to C$4.5-million.

Marathon intends to use the net proceeds from the offering to continue the permitting, development and exploration of the Valentine gold project, as well as for working capital and general corporate purposes.

Edited by Creamer Media Reporter

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