Coeur Mining (NYSE: CDE) is investing $6.6 million to acquire 5.76 million common shares of Integra Resources (TSXV: ITR; US-OTC: IRRZF) at $1.15 per share.
The private placement includes an agreement that will give Coeur participation rights to maintain its pro rata share ownership interest for two years.
Coeur will also have the right to appoint two members to a five-person technical committee that will be created to review ongoing exploration and pre-development activities on the DeLamar project and other mineral properties that may be acquired in the future, as long as Coeur holds at least 3% of Integra’s shares.
In addition, Integra is raising another $22 million in a bought deal financing of common shares at the same price.
Net proceeds from the offerings will be used to fund exploration and a prefeasibility study on Integra’s DeLamar project in southwestern Idaho, and for general corporate purposes.
In other news, Integra has repaid a $4.5 million debt to Kinross Gold (TSX: K; NYSE: KGC). Integra acquired DeLamar from Kinross in 2017.
At press time, Integra was trading at $1.20 per share with a 52-week range of 61¢ to $1.42. The company has 89 million common shares outstanding for a $110-million market capitalization.