Just a few hours after District Metals (DMX.V) announced it planned to raise C$6M in a financing, it already fully allocated the book. An initial C$5M tranche was structured as a LIFE financing priced at C$0.27 (no warrants were issued) with a concurrent C$1M non-brokered private placement financing at the same price.
While the company didn’t really ‘need’ the money, it puts District in a much more comfortable position while it is waiting for the Swedish parliament to lift the moratorium on uranium exploration and mining. We hope to see more news on that in the third quarter of this year.
Disclosure: The author has a long position in District Metals. District is a sponsor of the website. This post is for educational purposes only; be mindful investing in junior mining stocks is risky and you may lose your entire investment if things go wrong. Please read the disclaimer.
