Bunker Hill Announces Closing of C$33,752,300 Brokered Life Offering, Concurrent Non-Brokered Private Placement and Warrant Exercise
Executive Summary
- Bunker Hill Mining Corp. closed its “best efforts” private placement of LIFE Units, raising C$27.15 M (brokered) plus C$1.61 M (non‑brokered).
- A cornerstone investor exercised common share purchase warrants for an additional C$5.00 M, bringing total gross proceeds to C$33.75 million.
- Net proceeds are earmarked for working capital to ramp up the Bunker Hill Mine to commercial production, exploration activities, and general corporate purposes.
Key Details
- Units Issued – Brokered Offering: 150,808,332 LIFE Units (≈4,308,809 post‑consolidated) at C$0.18 per unit (C$6.30 post‑consolidated) → C$27,145,500 gross proceeds.
- Units Issued – Non‑Brokered Offering: 8,926,668 LIFE Units (≈255,048 post‑consolidated) at C$0.18 per unit (C$6.30 post‑consolidated) → C$1,606,800 gross proceeds.
- Warrant Exercise: Cornerstone investor exercised warrants at C$0.17 per warrant (C$5.95 post‑consolidated) → C$5,000,000 additional proceeds.
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Aggregate Gross Proceeds: C$33,752,300 from all components of the Offering.
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LIFE Unit Composition: 1 common share + 1 common share purchase warrant.
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Warrant Terms: Right to purchase one additional common share at C$0.30 (C$10.50 post‑consolidated) for 36 months from issuance.
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Lead Agent & Bookrunner: Haywood Securities Inc., with syndicate members Roth Canada, BMO Capital Markets, and Canaccord Genuity Corp.; ZED Financial Partners acted as finder.
- Agent Compensation:
- Cash fees to agents: C$1,579,290.
- Non‑transferable compensation options issued: 8,782,833 (representing 6 % of brokered gross proceeds, plus 3 % from President’s List sales).
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ZED cash fee: C$47,820; ZED compensation options: 256,667.
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Related‑Party Participation: Insiders purchased 300,000 LIFE Units (≈8,571 post‑consolidated), treated as a related‑party transaction under TSXV Policy 5.9 and MI 61‑101, with reliance on exemption provisions.
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Use of Proceeds: Working capital for Bunker Hill Mine ramp‑up to commercial production, exploration programs, and general corporate purposes.
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Regulatory Notes: Offering completed on a prospectus‑exempt basis under the listed issuer financing exemption (NI 45‑106). LIFE Units subject to a six‑month hold period in Canada; U.S. investors face a minimum six‑month hold period per Regulation S. Company will file a resale registration statement within five business days and seek effectiveness within 60 days.
Notable Quotes
- “The successful closing of this financing provides the capital needed to accelerate the ramp‑up of the Bunker Hill Mine and advance our exploration agenda, positioning us for commercial production and long‑term shareholder value creation.” – Sam Ash, President & CEO
Materiality Assessment: Material – Positive (substantial equity financing that directly funds core project development).