Sokoman Minerals Closes $26 Million "Bought Deal" Private Placement, including Full Exercise of Over-Allotment
Sokoman Minerals Closes $26 Million "Bought
Deal" Private Placement, including Full
Exercise of Over-Allotment
St. John's, Newfoundland and Labrador--(Newsfile Corp. - October 31, 2025) - Sokoman Minerals Corp.
(TSXV: SIC) (OTCQB: SICNF) ("
Sokoman
" or the "
Company
") is pleased to announce that it has
closed its previously announced bought deal private placement offering (the "
Offering
") for aggregate
gross proceeds to the Company of $26,221,750. The Offering consisted of:
1
.
53,000,000 common shares of the Company (the "
Common Shares
") at a price of $0.19 per
Common Share for aggregate gross proceeds of $10,070,000; and
2
.
60,950,000 common shares of the Company (the "
FT Shares
") that will qualify as "flow-through
shares" (within the meaning of subsection 66(15) of the
Income Tax Act
(Canada) (the "
Tax Act
"),
including 7,950,000 FT Shares issued pursuant to the full exercise of the over-allotment option, at a
price of $0.265 per FT Share for aggregate gross proceeds of $16,151,750. The FT Shares were
distributed on a charity flow through basis.
Mr. Eric Sprott, through 2176423 Ontario Ltd., a corporation beneficially owned by him, acquired
53,000,000 Common Shares in connection with the Offering.
The net proceeds from the sale of the Common Shares will be used by the Company for property
acquisitions as well as working capital and general corporate purposes. The gross proceeds from the
sale of the FT Shares will be used to incur "Canadian exploration expenses" (as defined in the Tax Act)
that will qualify as "flow-through mining expenditures" within the meaning of the Tax Act (the "
Qualifying
Expenditures
"). The Qualifying Expenditures will be incurred on or before December 31, 2026, and will
be renounced by the Company to the initial purchasers of the FT Shares with an effective date no later
than December 31, 2025.
The Offering was led by Canaccord Genuity Corp. ("
Canaccord
"), as lead underwriter and sole
bookrunner, and BMO Capital Markets (together with Canaccord, the "
Underwriters
") pursuant to an
underwriting agreement entered into among the Company and the Underwriters. In connection with the
Offering, the Company paid the Underwriters a cash commission of $1,073,305 and issued the
Underwriters 3,679,105 broker warrants (the "
Broker Warrants
"). Each Broker Warrant entitles the
holder thereof to purchase one common share of the Company (the "
Broker Warrant Shares
") at an
exercise price of $0.19 per Broker Warrant Share for a period of 24 months following the closing of the
Offering.
The Offering included participation by a director of the Company for 130,000 Common Shares. Such
participation constitutes a "related party transaction" pursuant to Multilateral Instrument 61-101 -
Protection of Minority Securityholders in Special Transactions
("
MI 61-101
"). However, the insider
participation is exempt from the formal valuation and minority shareholder approval requirements set
forth in MI 61-101 on the basis that the fair market value of the consideration does not exceed 25% of the
Company's market capitalization.
The Common Shares and FT Shares issued in the Offering are subject to a four-month hold period under
applicable Canadian securities laws.
The Offering remains subject to the final approval of the TSX Venture Exchange (the "
TSXV
").
The Common Shares and FT Shares have not been registered and will not be registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the United States absent
registration or an applicable exemption from the registration requirements. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in
any state in which such offer, solicitation or sale would be unlawful.
About Sokoman Minerals Corp.
Sokoman Minerals Corp. is led by an experienced management team and is the dominant explorer
along the Valentine Lake Fault zone in Newfoundland, Canada's newest gold district. The Company's
primary focus is its 100% owned district-scale Treasure Island Gold Project, along with a portfolio of gold
projects, including the district-scale Fleur de Lys Project.
For more information, please contact:
Denis Laviolette, Executive Chairman, CEO & Director
E
:
Cathy Hume, VP Corporate Development & Director
T:
416-868-1079 x 251
E:
Website:
www.sokomanmineralscorp.com
:
@SokomanMinerals
:
@SokomanMinerals
LinkedIn:
@SokomanMineralsCorp
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
Investors are cautioned that trading in the securities of the Company should be considered
highly speculative. This news release contains "forward-looking statements" within the
meaning of the applicable Canadian securities legislation that are based on expectations,
estimates, assumptions, geological theories, and projections as at the date of this news release.
The information in this news release about any information herein that is not a historical fact
may be "forward-looking statements." Actual results may differ materially. Any statement that
involves discussions with respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions, future events or performance (which may, but not always, include
phrases such as "anticipates", "plans", "scheduled", "believed" or "intends" or variations of
such words and phrases or stating that certain actions, events or results "may" or "could",
"would", "might" or "will" be taken to occur or be achieved) including statements regarding the
Company's plans with respect to the Company's projects and the timing related thereto, the
merits of the Company's projects, the Company's objectives, plans and strategies, the receipt of
TSXV final approval for the Offering, the use of proceeds of the Offering, and other matters are
not statements of historical fact and may be forward-looking statements and are intended to
identify forward-looking statements. Factors that may cause results to vary include delays in
obtaining necessary approvals, changes in the market for the Company's securities, results of
exploration, loss of title to properties, delays in obtaining permits or access to mineral
properties, including as a result of adverse weather, fire or flood, changes to the Tax Act,
rejection of expenditures as Qualifying Expenditures, and factors included in the documents
filed from time to time with the Canadian securities regulatory authorities by Sokoman Minerals
Corp. Sokoman Minerals Corp. will not update these forward-looking statements to reflect
events or circumstances after the date hereof, except as required by law.
Not for distribution to United States newswire services or for dissemination in the United
States
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/272726