Lavras Gold Corp. Announces Closing of $10 Million Public Offering

Executive Summary

• Lavras Gold Corp. completed a bought‑deal public offering of 2,942,000 common shares at C$3.40 per share, generating gross proceeds of C$10,002,800.
• Net proceeds will be allocated to project development, exploration and resource drilling on the LDS Project in Brazil, as well as general corporate purposes.
• The transaction involved related‑party participation (insider purchase of 7,350 shares) and was conducted under an underwriting agreement with Canaccord Genuity Corp., Paradigm Capital Inc., Research Capital Corporation and Raymond James Ltd.; cash commissions to underwriters were 6% of gross proceeds.

Key Details

• Offering Size: 2,942,000 common shares issued.
• Offering Price: C$3.40 per share.
• Gross Proceeds: C$10,002,800.
• Underwriting Arrangement: Co‑lead underwriters – Canaccord Genuity Corp. and Paradigm Capital Inc.; additional underwriters – Research Capital Corporation and Raymond James Ltd.
• Commission: Aggregate cash commission of 6% on gross proceeds (reduced commissions applied to the President’s List).
• Use of Proceeds: Funding for project development, exploration activities, resource drilling on the LDS Project, and general corporate purposes.
• Related‑Party Transaction: Insider purchased 7,350 shares; exemption relied upon under TSX Venture Exchange Policy 5.9 and MI 61‑101 (no material change report filed).
• Regulatory Status: Offering subject to final acceptance by the TSX Venture Exchange; shares not registered in the United States and may not be offered or sold there without registration or an applicable exemption.

Notable Quotes

“The successful completion of this offering provides us with the capital needed to advance our LDS Project and continue delivering value for shareholders.” – Hemdat Sawh, Interim President & CEO and CFO.