Group Eleven closes $12-million bought deal offering

Executive Summary

• Group Eleven Resources Corp. has closed a bought deal private placement raising aggregate gross proceeds of C$12,000,825.
• The offering included the full exercise of the underwriters' option, resulting in the issuance of 13,334,250 common shares at a price of C$0.90 per share.
• Net proceeds are designated to significantly expand the exploration drill programs at the Ballywire and Stonepark projects, along with general corporate and working capital needs.

Key Details

• Gross Proceeds: C$12,000,825.
• Shares Issued: 13,334,250 common shares.
• Price Per Share: C$0.90.
• Underwriters' Option: Fully exercised (original option value C$1.56M included in total).
• Underwriters: ATB Cormark Capital Markets (lead underwriter and sole bookrunner) and Beacon Securities Ltd.
• Commissions: Aggregate cash commission of $468,139.50 paid to underwriters.
• Use of Proceeds:
  • Expand Ballywire drill program from ~17,000 metres to ~51,500 metres.
  • Expand Stonepark drill program from ~3,000 metres to ~15,500 metres.
  • General corporate and working capital purposes.
• Regulatory Basis: Listed issuer financing exemption under National Instrument 45-106.
• Insider Participation: A director acquired shares; classified as a related-party transaction under Multilateral Instrument 61-101.
• Hold Period: Shares issued to the insider are subject to a four-month hold period per TSX Venture Exchange policies.
• Shareholder Impact: Glencore Canada Corp. did not exercise its participation right and retains an approximate 13.0% ownership interest.

Notable Quotes

• None provided in the text.