Toronto, Ontario--(Newsfile Corp. - January 30, 2025) - Lavras Gold Corp. (TSXV: LGC) (OTCQX: LGCFF) ("Lavras" or the "Company") is pleased to announce a "best efforts" public offering (the "Offering") for the sale of 4,546,000 common shares of the Company (the "Shares") at a price of C$2.20 per Share (the "Offering Price") for gross proceeds of C$10,001,200. In connection with the Offering, the Company has entered into an agreement with Paradigm Capital Inc. ("Paradigm") and Canaccord Genuity to act as co-lead agents and joint bookrunners on behalf of a syndicate of agents (collectively, the "Agents").
The Company will grant the Agents an option, exercisable, in whole or in part, for up to 30 days following the closing of the Offering, to sell the number of Shares equal to up to an additional 15% of the Shares sold pursuant to the Offering at the Offering Price to cover over-allotments, if any.
The net proceeds from the Offering will be used for exploration and development of its mineral properties comprising its LDS Project, and general working capital purposes.
The Company intends to file a prospectus supplement (the "Prospectus Supplement") to its short form base shelf prospectus dated November 26, 2024 (the "Base Shelf Prospectus") on February 3, 2025. The Prospectus Supplement will be filed with the securities regulatory authorities in each of the provinces and territories of Canada, except Québec. The Shares may also be offered by way of private placement in the United States and in offshore jurisdictions. Delivery of the Base Shelf Prospectus and the Prospectus Supplement and any amendments thereto will be satisfied in accordance with the "access equals delivery" provisions of applicable Canadian securities legislation. An electronic or paper copy of the Base Shelf Prospectus and the Prospectus Supplement, when available, may be obtained, without charge, from Paradigm by e-mail at ecm@paradigmcap.com by providing Paradigm with an email address or address, as applicable. Prospective investors should read the Base Shelf Prospectus and Prospectus Supplement and the documents incorporated by reference therein, as filed by the Company on SEDAR+ at www.sedarplus.ca, before making an investment decision.
The Offering is expected to close on or about February 6, 2025 and is subject to Lavras receiving all necessary regulatory approvals, including the acceptance of the Offering by the TSX Venture Exchange.
[One or more insiders of the Company are expected to participate in the Offering, and their participation will be considered to be a "related party transaction" as defined under Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Offering will be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 on the basis that such participation will be less than 25% of the Company's market capitalization, calculated in accordance with MI 61-101].
The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.
About Lavras Gold
Lavras Gold Corp. (TSXV: LGC) (OTCQX: LGCFF) is a Canadian exploration company focused on realizing the potential of a multi-million-ounce gold district in southern Brazil. Its Lavras do Sul Project is located in Rio Grande do Sul State, and is primarily an intrusive hosted gold system of possible alkaline affinity. More than 24 gold prospects centred on historic gold workings have been identified on the property, which spans more than 23,000 hectares. Follow Lavras Gold on http://www.lavrasgold.com/, as well as on LinkedIn, Twitter, and YouTube.
Contact information
Michael Durose, President & CEO
or
Naomi Nemeth, VP Investor Relations
Phone: +1-289-624-1343 or +1-289-624-1377
Email: investor@lavrasgold.com
Instagram: lavrasgold
Website: www.lavrasgold.com
X (Twitter): @LavrasGold
LinkedIn: Lavras Gold Corp.
DISCLAIMER AND FORWARD-LOOKING INFORMATION
This news release includes certain "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively "forward looking statements"). Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", "budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the Offering and the use of proceeds in respect thereof, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators.
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements. For a discussion of risk factors which could adversely affect the forward looking statements, see the Company's public record filings at www.sedarplus.ca.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/239055
SOURCE: Lavras Gold Corp.
