12 December 2019
Osisko Metals Incorporated is pleased to announce the completion of the non-brokered private placement of 14,000,000 units of the Corporation at $0.50 per Unit for gross proceeds of up to C$7,000,000 which was previously announced in a news release dated December 3, 2019. Each Unit consists of one common share of the Corporation and one quarter (1/4) of one Common Share purchase warrant. Each Warrant entitles its holder to acquire an additional Common Share at $0.52 per Common Share for 36 months following the closing of the Offering. The exercise price of the Warrants was fixed at a value equal to a 25% premium to the volume-weighted average price of the common shares of the Corporation over the last ten (10) trading days preceding the closing of the Offering.
The Offering consisted of the sale of 14,000,000 Units to Osisko Gold Royalties Ltd , whose ownership following the closing of the Offering is now approximately 19.9% of the issued and outstanding Common Shares of the Corporation on a partially diluted basis. Pursuant to the terms of the Offering, Osisko Gold Royalties has the right, for as long as it holds at least 5% of the issued and outstanding Common Shares of the Corporation, to maintain its relative equity ownership percentage through participation in any future equity offerings of the Corporation. A copy of the early warning report to be filed by Osisko Gold Royalties in connection with the Offering will be available on SEDAR under Osisko Metals’ profile.