Rio2 files prospectus supplement for offering

Executive Summary

• Rio2 Ltd. filed a prospectus supplement to qualify the public distribution of 74,865,000 subscription receipts at $2.22 per receipt, raising gross proceeds of approximately $166.2 million.
• The financing is specifically tied to the previously announced definitive agreement to acquire a 99.1% interest in the Condestable mine in Peru.
• The transaction has received conditional approval from the Toronto Stock Exchange (TSX), with closing expected on or about December 15, 2025.

Key Details

• Financing Structure: Bought deal equity financing via subscription receipts.
• Price: $2.22 per subscription receipt.
• Quantity: 74,865,000 subscription receipts issued.
• Gross Proceeds: Approximately $166.2 million (74,865,000 units × $2.22).
• Overallotment Option: Underwriters granted an option to purchase up to 15% additional subscription receipts (approx. 11,229,750 units) at $2.22 per unit, exercisable within 30 days of closing for market stabilization or to cover overallotments.
• Use of Proceeds: To fund the acquisition of the Condestable mine and general corporate purposes.
• Regulatory Status: Prospectus supplement filed with Canadian securities regulators (except Quebec); TSX provided conditional approval for listing.
• Closing Date: Expected on or about December 15, 2025, subject to customary closing conditions.
• M&A Transaction: Rio2 entered into a definitive agreement to acquire a 99.1% interest in the Condestable mine, located in the Lima Department, Peru.
• Technical Report: A NI 43-101 technical report for the Condestable mine, dated April 12, 2024 (effective Dec 31, 2022), has been filed on SEDAR+.

Notable Quotes

• None explicitly quoted in the text; however, the release notes that the company anticipates posting a corporate presentation regarding the transaction on its website upon closing.