First Cobalt Corp. is undertaking a bought-deal private placement of units to raise gross proceeds of about C$30 million, supported strongly by the company's new and existing investors.
The company will issue 25.7 million units at a price of C$1.10 apiece, it said Dec. 12. Each unit will consist of 1 share and 0.5 of a share purchase warrant, with each full warrant exercisable to acquire an additional share at C$1.50 each for a period of 24 months.
First Cobalt intends to use the proceeds to fund exploration and development of its Greater Cobalt project Ontario, and for working capital and general corporate purposes.
The financing is expected to close by Dec. 21.
