STLLR Gold Announces Closing of C$36.6 Million Private Placement Financing
Executive Summary
- STLLR Gold Inc. closed a multi‑component private placement raising C$36,613,902 in aggregate gross proceeds.
- The financing includes a bought‑deal (C$16.6 M), a best‑efforts brokered placement (C$15.0 M) and a non‑brokered placement to Agnico Eagle (C$5.0 M).
- Proceeds will fund flow‑through eligible exploration expenses on the Tower Gold and Hollinger Tailings projects and provide working capital for general corporate purposes.
Key Details
- Bought Deal Private Placement – led by Paradigm Capital Inc. & SCP Resource Finance LP:
- 2,790,200 Premium Flow‑Through Shares @ C$1.792 each → C$5,000,038.40 (flow‑through, charitable).
- 3,246,800 Flow‑Through Shares @ C$1.54 each → C$5,000,072 (flow‑through).
- 5,166,026 Hard Dollar Shares @ C$1.28 each → C$6,612,513.28 (non‑flow‑through).
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Total bought‑deal gross proceeds: C$16,612,623.68.
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Best‑Efforts Private Placement – brokered by Paradigm Capital Inc.:
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11,719,000 Common Shares @ C$1.28 each → C$15,000,320 (non‑flow‑through).
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Non‑Brokered Private Placement – to Agnico Eagle Mines Limited:
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3,907,000 Common Shares @ C$1.28 each → C$5,000,960 (non‑flow‑through).
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Ownership Changes:
- Eric Sprott (via 2176423 Ontario Ltd.) increased stake to ~15% (non‑diluted) through the best‑efforts placement.
- Agnico Eagle’s ownership rose to ~11%.
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Insiders purchased 434,100 Hard Dollar Shares and 19,500 Flow‑Through Shares.
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Use of Proceeds:
- Flow‑through portion (Premium FT + FT Shares) → earmarked for Canadian exploration expenses qualifying as flow‑through mining expenditures; to be incurred by Dec 31 2026 and renounced by Dec 31 2025.
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Hard Dollar, Best‑Efforts, and Concurrent Shares → allocated to non‑flow‑through operating expenses, general corporate purposes, and working capital.
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Commission Payments: Paradigm and SCP received cash commissions for the bought‑deal and best‑efforts placements; no commission paid on the Agnico Eagle non‑brokered placement.
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Regulatory Notes: Shares issued under applicable prospectus exemptions (NI 45‑106). Restricted hold period expires Feb 16 2026. Final TSX approval pending.
Notable Quotes
“This financing strengthens our ability to advance the Tower Gold and Hollinger Tailings projects in the Timmins Mining Camp,” – Keyvan Salehi, President & CEO, STLLR Gold Inc.