Eloro Resources arranges $10-million financing

Executive Summary

• Eloro Resources Ltd. has entered into an agreement for a bought deal private placement to raise gross proceeds of C$10.0 million.
• The company will issue 3,846,200 common shares at a price of $2.60 per share, with co-lead underwriters Red Cloud Securities Inc. and Cantor Fitzgerald Canada Corp.
• Net proceeds are intended for the continued exploration and development of the Iska Iska project in Bolivia, as well as general corporate purposes and working capital.

Key Details

• Transaction Structure: Bought deal private placement.
• Underwriters: Red Cloud Securities Inc. and Cantor Fitzgerald Canada Corp. (co-lead underwriters and joint bookrunners).
• Share Price: $2.60 per offered share.
• Base Offering: 3,846,200 common shares.
• Base Gross Proceeds: $10,000,120.
• Overallotment Option: Underwriters have an option to purchase up to an additional 769,300 shares (10% over-allotment).
• Overallotment Gross Proceeds: Up to $2,000,180.
• Use of Proceeds: Continued exploration and development of the Iska Iska project (southern Bolivia), general corporate purposes, and working capital.
• Regulatory Exemptions:
  • Shares offered in Canada (except Quebec) under the listed issuer financing exemption (NI 45-106, Part 5A).
  • Shares offered in the US via private placement exemptions from the Securities Act of 1933.
  • Shares offered outside Canada under OSC Rule 72-503 (no four-month hold period for non-Canadian purchasers).
  • Other shares subject to a four-month and one-day hold period in Canada.
• Closing Date: Scheduled for March 6, 2026, or as agreed by the company and Red Cloud.
• Conditions: Subject to regulatory approvals, including the Toronto Stock Exchange.

Notable Quotes

• No direct quotes from management were included in the provided text.