Abitibi Closes Bought Deal Public Offering of Common Shares and Flow-Through Shares

Core Viewpoint - Abitibi Metals Corp. has successfully closed a bought deal public offering, raising a total of $16,104,600 through the issuance of common shares and flow-through shares [1][2]. Group 1: Offering Details - The offering included 33,327,000 common shares, with gross proceeds of $16,104,600, which included the full exercise of the over-allotment option [2]. - The offering consisted of 13,144,500 common shares sold at $0.35 each, generating $4,600,575, and 20,182,500 flow-through shares sold at $0.57 each, generating $11,504,025 [2]. Group 2: Use of Proceeds - Proceeds from the flow-through shares will be allocated to exploration expenses for the advancement of the B26 Polymetallic Deposit [3]. - Net proceeds from the common shares will be utilized for general corporate purposes [3]. Group 3: Tax Implications - Flow-through shares qualify under Canadian tax laws, allowing subscribers to incur eligible exploration expenses that can be renounced [4]. Group 4: Underwriting and Regulatory Compliance - The offering was completed under an underwriting agreement, with a cash commission of 6.0% paid to the underwriters based on total gross proceeds [5]. - The securities were offered in all provinces of Canada and to U.S. purchasers under specific exemptions from registration requirements [6].