- Precious metals investor Eric Sprott has grown his stake in Spanish Mountain Gold (SPA) via a C$5 million investment.
- Through a recent private placement, the company issued a total of 16.6 million units at 30 cents each, which were all subsequently purchased by Eric
- Subsequent to the offering, Eric now holds approximately 21.8 per cent of Spanish Mountain Gold’s issued and outstanding shares on a partially diluted basis
- The proceeds will be used solely to advance the company’s Spanish Mountain gold project in central British Columbia
- Spanish Mountain Gold (SPA) is currently up 12.36 per cent and is trading at 50 cents per share
Precious metals investor Eric Sprott has grown his stake in Spanish Mountain Gold (SPA) via a C$5 million investment.
Under the terms of a private placement announced on July 20, the company issued a total of 16.6 million units at a price of 30 cents each, all of which were acquired by Eric.
The units are comprised of one common share in Spanish Mountain Gold and one common share purchase warrant, exercisable at a price of 45 cents per share over a period of two years from the date of issuance.
Prior to the placement, Eric owned 20 million common shares and 20 million common share purchase warrants in the company.
Eric stake has now been increased to a roughly 36 million for each, representing roughly 12.2 per cent of Spanish Mountain Gold outstanding securities on a non-diluted basis and 21.8 per cent on a partially diluted basis.
The proceeds will be used solely to advance work at the company’s Spanish Mountain gold project in an effort to achieve key milestones beyond a preliminary feasibility study.
Today’s announcement noted that the specific details of this work will be revealed shortly.
Larry Yau, CEO of Spanish Mountain Gold, said he would like to personally thank Eric for yet another vote of confidence in the company.
“With his impressive track record of picking outperformers among mining explorers and developers, we are honoured and delighted to be his choice of personal investment twice within a short period of two weeks,” he added.
Spanish Mountain Gold (SPA) is currently up 12.36 per cent to $0.50 per share at 12:18pm EDT.