Lara Exploration closes $33.75-million offering

Executive Summary

• Lara Exploration Ltd. has completed a combined brokered and non-brokered private placement raising aggregate gross proceeds of C$33.75 million.
• The offering consisted of the issuance of 11.25 million common shares at a price of $3.00 per share.
• A significant portion of the brokered offering (C$13.5 million) was subscribed by Atalaya Mining Copper SA, constituting a related party transaction.

Key Details

• Total Gross Proceeds: C$33,750,000.
• Shares Issued: 11,250,000 common shares.
• Price Per Share: $3.00 CAD.
• Brokered Offering Details:
  • Total shares issued: 6,750,000.
  • Total gross proceeds: $20,250,000.
  • Lead Agent/Sole Bookrunner: SCP Resource Finance LP.
  • Co-Agent: Stifel Nicolaus Canada Inc.
  • Agent Compensation: Cash commission of $285,300 and a corporate finance fee of $891,405 (inclusive of HST).
  • Related Party Subscription: Atalaya Mining Copper SA subscribed for 4,500,000 shares for $13,500,000 (representing ~7.3% of issued and outstanding shares post-closing).
  • Insider Participation: Insiders subscribed for an aggregate of 515,000 common shares.
• Non-Brokered Offering Details:
  • Total shares issued: 4,500,000.
  • Total gross proceeds: $13,500,000.
• Use of Proceeds: Advancement of the Planalto copper-gold project and general corporate/working capital purposes.
• Hold Period: Securities are subject to a statutory hold period expiring on August 2, 2026.
• Regulatory Status: Subject to final acceptance by the TSX Venture Exchange.
• Related Party Transaction Context: The company relied on exemptions under MI 61-101 for formal valuation and minority shareholder approval, as the fair market value of shares issued to related parties did not exceed 25% of the company's market capitalization. No material change report was filed 21 days prior to closing as details were not yet settled.

Notable Quotes

• None provided in the text.