Reported 5 months ago
IAMGOLD, a Canadian company, has initiated a bought deal to sell 72 million common shares at $4.17 each, aiming to raise approximately $300 million. The company plans to use these funds to repurchase a 9.7% stake in the Côté Gold Mine from Sumitomo Metal Mining, in order to regain its full 70% ownership of the mine. The underwriters, led by National Bank Financial Markets, BMO Capital Markets, and RBC Capital Markets, have the option to acquire an additional 10.8 million shares at the offering price. If fully exercised, IAMGOLD's gross proceeds could reach nearly $345 million. The net proceeds from the offering will be used for the repurchase of the Côté Gold Mine stake, enhancing IAMGOLD's economic benefits and cash flows from the mine while eliminating costs associated with maintaining the option. The share offering is expected to close around May 24, 2024, pending approvals from the Toronto Stock Exchange and the New York Stock Exchange.
Source: YAHOO