Asante Gold Corporation (CSE: ASE | GSE: ASG | FRANKFURT: 1A9 | U.S. OTC: ASGOF) (“Asante” or the “Company”) is pleased to announce it has entered into an equity financing agreement with a strategic investor. Under this agreement, Asante will sell 90,666,667 common shares via a non-brokered private placement at C$1.50 per share, raising a total of C$136 million (US$100 million) (the “Offering”).
The Offering will close in three tranches:
- The first tranche of US$25 million is set to close on October 15, 2024.
- The second tranche of US$35 million will close on November 14, 2024.
- The final tranche of US$40 million is scheduled to close on December 5, 2024.
All tranches are subject to regulatory approvals, including the Canadian Securities Exchange.
Proceeds from the Offering will be used for growth and development initiatives at the Bibiani and Chirano mines, potential acquisitions, and refinancing of existing liabilities.
“This Offering is a key part of Asante’s broader financing strategy,” said Dave Anthony, President and CEO of Asante. “We are also progressing well with our Ghanaian bond program, which was announced on September 19, 2024. We look forward to providing further updates on these initiatives, which are vital for funding our development and restructuring short-term liabilities.”
The common shares issued in the Offering will be subject to a four-month holding period as per Canadian securities laws.
In addition, Asante has reached non-binding terms for an amended repayment schedule with Kinross Gold Corporation (“Kinross”). This amendment relates to the remaining payments due to Kinross from Asante’s acquisition of Red Back Mining Pty Ltd. (now Asante Chirano Australia Pty Ltd.), which holds a 90% stake in the Chirano Gold Mine. Further details of the amended repayment terms will be provided once finalized.
This news release does not constitute an offer to sell or a solicitation to buy securities in the U.S. The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the U.S. without registration or an applicable exemption.
About Asante Gold Corporation
Asante Gold Corporation is a gold exploration, development, and operating company with a portfolio of high-quality projects in Ghana. The Company operates the Bibiani and Chirano Gold Mines and is conducting technical studies at its Kubi Gold Project. Located on the Bibiani and Ashanti Gold Belts, Asante’s projects benefit from a skilled team with extensive experience in Ghana. The Company is listed on the Canadian Securities Exchange and the Ghana Stock Exchange and is actively exploring its Keyhole, Fahiakoba, and Betenase projects for new gold discoveries in Ghana’s Golden Triangle. For more information, visit www.asantegold.com.
