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WINNEMUCCA, Nev. - Hycroft Mining Holding Corporation (NASDAQ:HYMC) has priced its public underwritten offering of 23,076,924 shares of Class A common stock at $6.50 per share, the company announced Thursday. The stock, which has delivered an impressive 223% return year-to-date according to InvestingPro data, is currently trading near its 52-week high of $7.25.
The offering, which is expected to close on October 14, aims to raise approximately $150 million in gross proceeds before deducting underwriting discounts, commissions, and estimated expenses. Hycroft has also granted underwriters a 30-day option to purchase up to an additional 3,295,076 shares. With a current market capitalization of $380.77 million and a robust current ratio of 25.8, the company maintains strong liquidity position.
The gold and silver mining company plans to use the net proceeds to expand and accelerate its exploration and drilling programs at the Hycroft Mine in northern Nevada. Funds will also address general corporate and working capital needs, including the anticipated repayment of existing debt obligations, which the company expects to retire at a discount to face value. InvestingPro analysis indicates the company currently trades above its Fair Value, with analysts not anticipating profitability this year. Get access to 10+ additional exclusive ProTips and comprehensive financial metrics with InvestingPro.
BMO Capital Markets is serving as the lead book-running manager for the offering, with Paradigm Capital acting as book-running manager and Cormark Securities Inc. as co-manager. SCP Resource Finance LP is acting as a capital markets advisor to Hycroft.
The offering is being conducted pursuant to an effective shelf registration statement on Form S-3 filed with the U.S. Securities and Exchange Commission.
Hycroft Mining focuses on developing the Hycroft Mine in northern Nevada, which the company describes as one of the world’s largest precious metals deposits. The company is currently working to transition the mine from oxide heap leaching operations to processing sulfide ore while conducting exploration drilling to expand silver systems and unlock the potential of the asset.
This information is based on a press release statement from the company.
In other recent news, Hycroft Mining Holding Corporation announced a proposed public underwritten offering of Class A common stock to raise approximately $100 million. The funds are intended to expand and accelerate exploration and drilling programs at the Hycroft Mine, as well as address general corporate needs, including debt reduction. Additionally, Hycroft completed a $60 million private placement, with significant participation from investor Eric Sprott and Tribeca Global Natural Resources Ltd. The company also raised $40.7 million through a public offering in June, reaching approximately $45 million after an over-allotment option was exercised in July. In a separate development, Hycroft’s recent geophysics survey identified a large-scale target beneath its high-grade silver system at the Hycroft Mine. Meanwhile, MindWalk Holdings Corp announced advancements in its AI-designed GLP-1 therapeutics program, discovering a new connection between GLP-1 biology and a second pathway related to healthy aging. This development supports the creation of a dual-pathway regimen with MindWalk’s proprietary therapeutic.
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