Omai closes $40-million bought deal offering

Executive Summary

• Omai Gold Mines Corp. has closed a C$40 million bought deal private placement of common shares, issuing 34,783,000 shares at $1.15 per share.
• The transaction involved significant underwriting activity with Paradigm Capital Inc. as lead underwriter and included a related-party transaction involving an officer's purchase of 200,000 shares.
• Net proceeds are designated for exploration, development, and general working capital, with securities subject to a four-month-and-one-day hold period.

Key Details

• Transaction Structure: Closed bought deal private placement of common shares.
• Quantity Issued: 34,783,000 common shares.
• Price Per Share: C$1.15.
• Gross Proceeds: C$40,000,540.
• Underwriter Commission: C$2,194,274.75 paid to underwriters.
• Lead Underwriter: Paradigm Capital Inc.
• Other Underwriters: Haywood Securities Inc., Agentis Capital Markets (First Nations Financial Markets Limited Partnership), National Bank Financial Inc., Desjardins Securities Inc., Cormark Securities Inc., and Stifel Nicolaus Canada Inc.
• Related-Party Transaction: An officer purchased 200,000 shares. The company relied on exemptions from formal valuation and minority shareholder approval requirements under Multilateral Instrument 61-101 (MI 61-101), specifically sections 5.5(a) and 5.7(1)(a), as the insider participation did not exceed 25% of the company's market capitalization.
• Regulatory Filing: No material change report was filed 21 days prior to closing because insider participation had not been confirmed at that time.
• Use of Proceeds: Exploration and development, and general working capital purposes.
• Hold Period: Securities are subject to a hold period under Canadian law expiring four months and one day from the closing date.
• Exchange Approval: The offering remains subject to final acceptance of the TSX Venture Exchange.

Notable Quotes

• None provided in the text.