Hycroft Mining raises $171.4 million as underwriters exercise option

WINNEMUCCA, Nev. - Hycroft Mining Holding Corporation (NASDAQ:HYMC) announced Monday that underwriters of its public offering have exercised their over-allotment option to purchase an additional 3.3 million shares of Class A Common Stock at $6.50 per share. The announcement comes as the stock trades near its 52-week high of $7.79, having delivered an impressive 237% return year-to-date according to InvestingPro data.

The exercise comes after Hycroft’s previously announced offering of 23.1 million shares, which was already upsized from an initially planned $100 million to approximately $150 million. With the additional shares, the total offering has grown to 26.4 million shares, generating gross proceeds of approximately $171.4 million before deducting underwriting discounts and offering expenses.

The offering, including the over-allotment shares, is expected to close Tuesday, subject to customary closing conditions.

BMO Capital Markets is serving as the lead book-running manager for the offering, with Paradigm Capital 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 Nevada-based gold and silver company plans to use the net proceeds to expand and accelerate its exploration and drilling programs, for general corporate and working capital needs, and to repay or repurchase existing debt obligations. While the company reported a loss per share of $1.99 over the last twelve months, InvestingPro analysis reveals 12 additional key insights about Hycroft’s financial health and market position.

Hycroft Mining is focused on developing its 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.

The offering was made pursuant to an effective shelf registration statement filed with the U.S. Securities and Exchange Commission, according to the company’s press release statement.

In other recent news, Hycroft Mining Holding Corporation announced the pricing of a public underwritten offering of 23,076,924 shares of Class A common stock at $6.50 per share. This offering aims to raise approximately $150 million in gross proceeds, with an additional option for underwriters to purchase up to 3,295,076 more shares. The company also disclosed plans for a separate $100 million stock offering to fund exploration and drilling programs at its Hycroft Mine, as well as to address corporate and working capital needs. Furthermore, Hycroft’s 2025 Induced Polarization geophysics survey identified a potential feeder zone beneath its high-grade silver system, offering new exploration opportunities. These developments come as Hycroft continues to expand its exploration activities. Meanwhile, MindWalk Holdings Corp made headlines with a significant advancement in its GLP-1 therapeutics program, discovering a novel connection that could enhance its therapeutic offerings.

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