Excellon Announces Upsize of Bought Deal Private Placement and Concurrent Private Placement for Gross Proceeds of Approximately C$22 Million
Excellon Announces Upsize of Bought Deal
Private Placement and Concurrent Private
Placement for Gross Proceeds of
Approximately C$22 Million
Toronto, Ontario--(Newsfile Corp. - March 2, 2026) -
Excellon Resources Inc. (TSXV: EXN) (OTC
Pink: EXNRF) (FSE: E4X2)
("
Excellon
" or the "
Company
") is pleased to announce that as a result of
strong investor demand, the Company has increased the size of its previously announced "bought deal"
private placement (the "
Offering
") from aggregate gross proceeds of C$10,000,020 to aggregate gross
proceeds of C$12,999,600. ATB Capital Markets Corp. ("
ATB Capital
") and Velocity Capital Partners,
as co-lead underwriters and joint bookrunners, on behalf of a syndicate of underwriters (collectively, the
"
Underwriters
"), have agreed to purchase (or arrange for substituted purchasers to purchase)
21,666,000 common shares ("
Common Shares
") in the capital of the Company (the "
Offered
Shares
") at a price of C$0.60 per Offered Share (the "
Offering Price
").
The Company and ATB Capital have also agreed to increase the size of the Underwriters' Option (as
defined herein), such that the Company has granted the Underwriters an option, exercisable in whole or
in part at any time up to 48 hours prior to the Closing Date (as defined herein), to purchase (or arrange
for substituted purchasers to purchase) up to an additional 6,670,000 Offered Shares at the Offering
Price to raise additional gross proceeds of up to C$4,002,000 (the "
Underwriters' Option
").
The Company is also pleased to announce the launch of a concurrent brokered private placement (the
"
Concurrent Private Placement
") with 2176423 Ontario Ltd., a corporation beneficially owned by Eric
Sprott, pursuant to which the Company will sell an additional 8,333,500 Common Shares at the Offering
Price for additional aggregate gross proceeds to the Company of C$5,000,100. The Concurrent Private
Placement will be completed on a private placement basis pursuant to an available exemption from the
prospectus requirements in Canada other than the Listed Issuer Financing Exemption (as defined
herein).
The combined aggregate gross proceeds from the Offering (assuming full exercise of the Underwriters'
Option) and the Concurrent Private Placement are expected to be approximately C$22 million. The
Company intends to use the net proceeds from the Offering and the Concurrent Private Placement for
exploration and development of the Company's projects in Peru, working capital and general corporate
purposes, as is more fully described in the Amended and Restated Offering Document (as defined
herein).
Subject to compliance with applicable regulatory requirements and in accordance with National
Instrument 45-106 -
Prospectus Exemptions
("
NI 45-106
"), up to 21,666,000 Offered Shares will be
offered for sale to purchasers resident in each of the provinces of Canada, other than Québec, pursuant
to the "listed issuer financing exemption" under Part 5A of NI 45-106, as amended by Coordinated
Blanket Order 45-935 -
Exemptions from Certain Conditions of the Listed Issuer Financing Exemption
(the "
Listed Issuer Financing Exemption
"). The Offered Shares issued to purchasers resident in
Canada pursuant to the Listed Issuer Financing Exemption will not be subject to a statutory hold period
in Canada. The Offered Shares may also be offered in the United States or to, or for the account or
benefit of, U.S. persons, by way of private placement pursuant to available exemptions from the
registration requirements of the
United States Securities Act of 1933
, as amended (the "
U.S.
Securities Act
"), and in certain other jurisdictions outside of Canada and the United States on a private
placement or equivalent basis, in each case in accordance with all applicable laws, provided that no
prospectus, registration statement or other similar document is required to be filed in such jurisdiction
and that no ongoing reporting requirement or requisite regulatory or governmental approval arises in
such jurisdiction. The Offered Shares will be offered for sale to purchasers outside of Canada pursuant
to an exemption from the prospectus requirements in Canada available under OSC Rule 72-503 -
Distributions Outside Canada
and, accordingly, the Offered Shares issued to purchasers outside of
Canada are not expected to be subject to a statutory hold period in Canada. The Common Shares
issued pursuant to the Concurrent Private Placement will be subject to a four month statutory hold period
in Canada.
There is an amended and restated offering document (the "
Amended and Restated Offering
Document
") related to the Offering that can be accessed under the Company's profile on SEDAR+ at
www.sedarplus.ca
and on the Company's website at:
www.excellonresources.com
. Prospective
investors should read the Amended and Restated Offering Document before making an investment
decision.
The Offering and the Concurrent Private Placement are expected to close on or about March 12, 2026,
or on such other date as may be agreed to by the Company and ATB Capital (the "
Closing Date
").
Completion of the Offering and the Concurrent Private Placement are subject to customary conditions,
including, but not limited to, the receipt of all necessary regulatory approvals, including the acceptance of
the TSX Venture Exchange.
The securities offered have not been, and will not be, registered under the U.S. Securities Act, or any
state securities laws, and may not be offered or sold in the United States or to, or for the account or
benefit of, persons in the "United States" or "U.S. persons" (as such terms are defined in Regulation S
under the U.S. Securities Act), absent registration or an exemption from such registration requirements.
This news release shall not constitute an offer to sell or the solicitation of an offer to buy in the United
States nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or
sale would be unlawful.
About Excellon Resources Inc.
Excellon's vision is to realize opportunities through the acquisition and advancement of quality precious
and base metal assets, leveraging an experienced management team for the benefit of its employees,
communities and shareholders. The Company is focused on the potential restart of the Mallay Silver
Mine in Peru. Excellon also holds a portfolio of exploration-stage projects, including the Tres Cerros
Gold/Silver Exploration Property in Peru; Kilgore, an advanced gold project in Idaho; and Silver City, a
high-grade epithermal silver district in Saxony, Germany, providing additional growth upside. Additional
details on Excellon's properties can be found at
www.excellonresources.com
.
For Further Information, Please Contact:
Excellon Resources Inc.
Shawn Howarth, President & Chief Executive Officer
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS
All statements, other than statements of historical fact, contained, referenced or incorporated by
reference in this news release constitute "forward-looking statements" and "forward looking
information" (collectively, "forward-looking statements") within the meaning of applicable Canadian
and United States securities legislation. Generally, these forward-looking statements can be identified
by the use of forward-looking terminology such as: "actively", "advance", "anticipated", "assess",
"believe", "cause", "commence", "completion", "conditions", "consideration", "continues",
"development", "due course", "expectation", "exploration", "extend", "extension", "flexibility",
"focused", "forward", "further", "future", "if", "implement", "liquidity", "looking", "maturity", "may",
"negotiations", "occur", "opportunities", "options", "outcome", "outstanding", "potential", "providing",
"reach", "restructuring", "risk", "subject to", "to be", "update", "vision", "waive", "when", "will", and
"would", or variations of such words, and similar such words, expressions or statements that certain
actions, events or results can, could, may, should, to, will, would (or not) be achieved, occur, provide,
result, complete or support in the future or which, by their nature, refer to future events. In some cases,
forward-looking information may be stated in the present tense, such as in respect of current matters
that may be continuing, or that may have a future impact or effect.
Forward-looking statements include statements regarding the structure and terms of the Offering and
the Concurrent Private Placement; the use of proceeds of the Offering and the Concurrent Private
Placement; the timing and ability of the Company to complete the Offering and the Concurrent Private
Placement; the timing and ability of the Company to receive necessary approvals; and the
Company's objectives, goals and future plans and strategies. Although the Company believes that
such statements are reasonable, it can give no assurance that such expectations will prove to be
correct, and any forward-looking statements by the Company are not guarantees of future actions,
results or performance. Forward-looking statements are based on assumptions, estimates,
expectations and opinions, which are considered reasonable and represent best judgment based on
available facts, as of the date such statements are made. If such assumptions, estimates,
expectations and opinions prove to be incorrect, actual and future results may be materially different
than expressed or implied in the forward-looking statements. Forward-looking statements are
inherently subject to known and unknown risks, uncertainties, contingencies and other factors which
may cause the actual results or performance of the Company to be materially different from any future
results or performance expressed or implied by the forward-looking statements. Such risks,
uncertainties, contingencies and other factors include, among others, the inability of the Company to
complete the Offering and the Concurrent Private Placement on the terms proposed or at all, the
inability of the Company to obtain necessary approvals, the "Risk Factors" in the Company's annual
information form dated March 31, 2025 (the "
2025 AIF
"), and the risks, uncertainties, contingencies
and other factors identified in the Company's Management's Discussion and Analysis, and
accompanying financial statements, for the year ended December 31, 2024, and the Company's
other applicable public disclosure (collectively, "
Company Disclosure
"). The foregoing list of risks,
uncertainties, contingencies and other factors is not exhaustive; readers should consult the more
complete discussion of the Company's business, financial condition and prospects that is provided in
the 2025 AIF and the other Company Disclosure. The forward-looking statements referenced or
contained in this news release are expressly qualified by these Cautionary Statements as well as the
Cautionary Statements in the other Company Disclosure. Forward-looking statements contained
herein are made as of the date of this news release (or as otherwise expressly specified) and the
Company disclaims any obligation to update any forward-looking statements, whether as a result of
new information, future events or results or otherwise, except as required by applicable laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Not for distribution to United States news wire services or for dissemination in the United States
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