Hycroft Mining to sell 14.017M units at $4.28 per share in private placement

Hycroft Mining (HYMC) announced a non-brokered private placement, priced at-the-market under Nasdaq rules, consisting of 14,017,056 units at a price of $4.28 per unit for aggregate proceeds of $60M. Each unit will be comprised of one share of common stock of the company and one-half of one common stock purchase warrant. Each warrant will be exercisable to purchase one share of common stock of the company at a price of $6.00 per share for a period of 24 months with an accelerator provision. The private placement is being primarily subscribed to by Eric Sprott through 2176423 Ontario Ltd., a corporation beneficially owned by him and approximately 34% of the placement is being subscribed to by Tribeca Global Natural Resources. Upon closing, Sprott’s beneficial ownership position in Hycroft increases from approximately 21% to 33%, and Tribeca will own approximately 8%. Hycroft intends to use the proceeds of the private placement to fund advancement of its Hycroft Mine and for working capital and general corporate purposes. The private placement is subject to the satisfaction of customary closing conditions, with closing anticipated by September 10.