Fura Gems Inc (CVE:FURA) (OTCMKTS:FUGMF) has closed the final tranche of a C$33.9 million private placement to advance its global portfolio of gemstone assets.
The Toronto-based company issued nearly 28.6 million shares priced at C$0.25 per share to raise gross proceeds of C$7.2 million in the second tranche.
In total, Fura raised nearly C$33.9 million by issuing 135.5 million shares in the non-brokered private placement, which was first announced in May 2019. The firm now has 272 million shares outstanding.
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Net proceeds of the offering will be used to propel the company’s gemstone assets, which include an emerald project in Columbia, ruby assets in Mozambique and sapphire assets in Australia.
Additional proceeds will go towards closing the company’s ongoing acquisition of two ruby licenses and concessions in Mozambique. The deal includes a 70% interest in ruby mining licence 5030L through the acquisition of 70% of the issued and outstanding shares of Rubies Resources SA; an 80% interest in ruby mining concession 8921C through the acquisition of 80% of the issued and outstanding shares of Ibra Moz SA; and the right to earn a 65% interest in mining concession 8955C under a joint venture agreement collectively termed the New Energy Assets.
Shares issued in connection with the placement are subject to a statutory four-month hold period expiring September 28. Closing of the final tranche is subject to TSX Venture Exchange approval.
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