Victoria Gold Corp. launched a C$30 million bought deal offering in a bid to finish the Eagle gold mine at its Dublin Gulch property in Canada's Yukon territory.
With the project 75% complete, Victoria Gold needs C$25 million to complete the mine construction.
The company said March 12 that a syndicate of underwriters led by BMO Capital Markets agreed to buy its common shares at 44 cents apiece for gross proceeds of between C$30 million and C$33.4 million.
The underwriters were also granted a 30-day option to purchase up to an additional 15% of the common shares to cover overallotments, if any. The offering is expected to close by April 2.
The offering comes after Victoria Gold announced in February a flow-through financing for up to C$15 million in proceeds, which will also be used for the project. The company said that if no flow-through shares are subscribed for, the underwriters agreed to buy common shares that would fetch the company about C$30 million in proceeds.