Abitibi Metals arranges $10-million financing

Executive Summary

• Abitibi Metals Corp. has entered into an agreement for a C$10 million bought deal financing led by BMO Capital Markets and Haywood Securities.
• The financing consists of two tranches: 12.3 million charity flow-through common shares at 57 cents per share and 8.58 million hard-dollar common shares at 35 cents per share.
• Proceeds will be used to advance the B26 polymetallic deposit (flow-through shares) and for general corporate purposes (hard-dollar shares).

Key Details

• Total Gross Proceeds: Approximately C$10 million.
• Underwriters: Syndicate led by BMO Capital Markets (sole bookrunner) and Haywood Securities (co-lead).
• Share Tranche 1 (Charity Flow-Through):
  • Quantity: 12.3 million shares.
  • Price: C$0.57 per share.
  • Tax Status: Qualifies as a flow-through share under Subsection 66(15) of the Income Tax Act (Canada) and Section 359.1 of the Taxation Act (Quebec).
• Share Tranche 2 (Hard-Dollar):
  • Quantity: 8.58 million shares.
  • Price: C$0.35 per share.
• Overallotment Option: Underwriters have a 30-day option to purchase up to an additional 15% of the offering to cover overallotments.
• Use of Proceeds:
  • Flow-through proceeds: Continued advancement of the B26 polymetallic deposit.
  • Hard-dollar proceeds: General corporate purposes.
• Closing Date: Expected on or about December 16, 2025.
• Regulatory Status: Subject to receiving all necessary regulatory approvals.
• Offering Mechanism: Short form prospectus in all Canadian provinces; may also be offered via private placement in the United States.