Mako Mining Announces Closing of $28.4 Million Private Placement of Units
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595 Burrard Street, Suite 2833
Vancouver, BC V7X 1K8
Tel: (604) 646-1580
www.makominingcorp.com
TSX-V: MKO | OTCQB: MAKOF
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July 16, 2020
PRESS RELEASE - #20-15
TSX-V: MKO
Mako Mining Announces Closing of $28.4 Million Private Placement of Units
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION,
DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR
INTO THE UNITED STATES.
VANCOUVER, BC, July 16, 2020 – Mako Mining Corp. (TSX-V: MKO; OTCQX: MAKOF) (“Mako” or the
"Company") is pleased to announce that it has closed the private placement initially announced on June
26, 2020 for total gross proceeds of $28.4 million (the “Offering”). The Offering consisted of a bought deal
private placement (the “Bought Deal Offering”) of an aggregate of 30,000,000 units of the Company (the
“Units”) at an issue price per Unit of $ 0.40 (the “Offering Price”) for total gross proceeds of $12.0 million
and a concurrent non-brokered private placement of an aggregate of 41,000,000 Units issued to Wexford
Spectrum Trading Limited and Wexford Catalyst Trading Limited, funds managed by Wexford Capital LP
(collectively, “Wexford”) on the same terms as the Bought Deal Offering for total gross proceeds of $16.4
million, pursuant to the exercise by Wexford of its participation right under the investor rights agreement
between the Company and Wexford dated November 9, 2018.
Each Unit consist ed of one common share of the Company (a “Common Share”) and one -half of one
common share purchase warrant (each whole common share purchase warrant, a “Warrant”). Each
Warrant is exercisable by the holder thereof to purchase one Common Share at an exercise price of $0.60
until January 16, 2022.
The net proceeds from the Offering will be used to fund remaining capital expenditures at the San Albino
Gold Project in Nicaragua, for deb t repayment (from funds raised under the Bought Deal Offering only) ,
exploration expenditures and working capital and general corporate purposes.
Stifel GMP led a syndicate of underwriters, which included Eight Capital and INFOR Financial Inc.
(collectively, the “Underwriters”) in the Bought Deal Offering. In connection with the Bought Deal Offering,
the Company paid the Underwriters a cash fee equal to 6.0% of the gross proceeds of the Bought Deal
Offering and issued to the Underwriters broker warrants (the “Broker Warrants”) equal to 5.0% of the
number of Units sold pursuant to the Bought Deal Offering. Each Broker Warrant is exercisable to acquire
one Common Share at the Offering Price until January 16, 2022.
The Common Shares, Warrants and Broker Warrants issued pursuant to the Offering, and any Common
Shares issued upon the exercise of the Warrants and Broker Warrants , are subject to a statutory hold
period expiring November 17, 2020. The Offering remains subject to final approval of the TSX Venture
Exchange (“TSXV”). The TSXV has conditionally approved the listing of all Common Shares issuable under
the Offering and the listing of the Warrants upon the expiry of the statutory hold period, subject to fulfilling
all of the listing requirements of the TSXV.
The Company relied on the exemptions from the formal valuation and minority shareholder approval
requirements of MI 61 -101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61 -101 in respect of related
party participation in the Offering as neither the fair market value (as determined under MI 61-101) of the
subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involves
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the related parties, exceed ed 25% of the Company ’s market capitalization (as determined u nder MI 61-
101).
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities
in the United States. The securities have not been and will not be registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not
be offered or sold within the United States or to or for the account or benefit of a U.S. person (as defined
in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such registration is available.
On behalf of the Board,
Akiba Leisman
Chief Executive Officer
About Mako
Mako Mining Corp. is a publicly listed gold mining, development and exploration firm. The Company is
developing its high-grade San Albino gold project in Nueva Segovia, Nicaragua. Mako’s primary objective
is to bring San Albino into production quickly and efficiently, while continuing exploration of prospec tive
targets in Nicaragua.
For further information: Mako Mining Corp., Akiba Leisman, Chief Executive Officer, Telephone: 203-862-
7059, E -mail: [email protected] or visit our website at www.makominingcorp.com and
SEDAR at www.sedar.com.
Forward-Looking Statements:
Some of the statements contained herein may be considered “forward -looking information” within the
meaning of applicable securities laws, including statements regarding the use of net proceeds from the
Offering. Although Mako believes that the expectations reflected in its forward -looking information are
reasonable, such information has been based on factors and assumptions concerning future events that
may prove to be inaccurate. These factors and assumptions are based upon currently available information
to Mako. Such information is subject to known and unknown risks, uncertainties and other factors that
could influence actual results or events and cause actual results or events to differ materially from those
stated, anticipated or implied in the forward -looking information. A number of important factors including
those set forth in other public filings could cause actual outcomes and results to differ materially from those
expressed in these forward -looking statements. Factors that could cause the actual results to differ
materially from those in forward-looking statements include the receipt of final approval from the TSXV in
respect of the Offering and the timing thereof. Readers are cautioned to not place undue reliance on
forward-looking statements. The statements in this press release are made as of the date of this release
and, except as required by applicable law, Mako does not undertake any obligation to publicly update or
to revise any of the included forward -looking statements, whether as a result of new information, future
events or otherwise, except as required under applicable securities laws.
NEITHER THE TSXV NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE
TSXV) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.