Integra Resources Closes US$23 Million Bought Deal Financing

Rhea-AI Summary

Integra Resources Corp. (TSX-V:ITR; NYSE American:ITRG) has successfully closed a bought deal financing, issuing 6,785,000 common shares at $3.40 each. This generated gross proceeds of $23,069,000. The offering included an over-allotment option that was fully exercised. Coeur Mining, Inc. increased its stake from 4.8% to 5.6% by purchasing 735,294 shares. Proceeds will fund exploration and pre-feasibility studies at the DeLamar Project, in addition to general working capital.

Positive

• Raised $23,069,000 through the financing, enhancing liquidity.
• Coeur Mining increased ownership, indicating confidence in the company.

Negative

• None.

VANCOUVER, British Columbia, Sept. 14, 2020 (GLOBE NEWSWIRE) -- Integra Resources Corp. (“Integra” or the “Company”) (TSX-V:ITR; NYSE American:ITRG) is pleased to announce that it has closed its previously announced bought deal financing (the “Offering”). Pursuant to the Offering, Integra issued 6,785,000 common shares of the Company (the “Common Shares”), including 885,000 Common Shares issued in connection with the exercise in full of the over-allotment option granted to the Underwriters (as defined below) in connection with the Offering, at a price of US$3.40 per Common Share for gross proceeds of US$23,069,000.

The Offering was completed through a syndicate of underwriters led by Raymond James Ltd., and including Cormark Securities Inc., National Bank Financial Inc., PI Financial Corp., Roth Capital Partners, LLC, and Stifel Nicolaus Canada Inc. (collectively the “Underwriters”).  The Underwriters received a cash commission equal to 5.5% of the gross proceeds of the Offering (other than from the issue and sale of the Common Shares to certain purchasers on a president’s list and Coeur Mining, Inc., for which a 2.75% cash commission was paid).  The Company also paid a 3% finder’s fee in connection with certain purchasers from the president’s list.

Coeur Mining, Inc., which held approximately 4.8% of the issued and outstanding common shares of Integra prior to the Offering, exercised its participation right and has additionally increased its ownership to approximately 5.6% through the purchase of a total of 735,294 Common Shares in the Offering.

The Company filed a preliminary prospectus supplement on September 9, 2020 (the “Preliminary Supplement”) to its short form base shelf prospectus dated August 21, 2020 (the “Base Shelf Prospectus”). The Company filed a final prospectus supplement (together with the Preliminary Supplement, the “Supplements”) to its Base Shelf Prospectus on September 10, 2020. The Supplements were filed with the securities regulatory authorities in each of the provinces and territories of Canada, except Quebec. The Supplements were also filed with the U.S. Securities and Exchange Commission as part of the Company’s Registration Statement on Form F-10 (File No. 333-242483) in accordance with the Multijurisdictional Disclosure System established between Canada and the United States.

The Company intends to use the net proceeds to fund exploration and pre-feasibility study expenditures at the DeLamar Project and for working capital and general corporate purposes.

ON BEHALF OF THE BOARD OF DIRECTORS

George Salamis
President, CEO and Director

CONTACT INFORMATION
Corporate inquiries: ir@integraresources.com
Office phone: 1-604-416-0576

Forward looking and other cautionary statements

This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements”) within the meaning of the applicable Canadian and U.S. securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussion with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often, but not always using phrases such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: the use of the net proceeds from the Offering; anticipated advancement of mineral properties or programs; future operations; future growth potential of Integra; and future development plans.

These forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our business. Management believes that these assumptions are reasonable. Forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include, among others: risks related to the speculative nature of the Company’s business; the Company’s formative stage of development; the impact of COVID-19 on the timing of exploration and development work; the Company’s financial position; possible variations in mineralization, grade or recovery rates; actual results of current exploration activities; actual results of reclamation activities; conclusions of future economic evaluations; business integration risks; fluctuations in general macroeconomic conditions; fluctuations in securities markets; fluctuations in spot and forward prices of gold, silver, base metals or certain other commodities; fluctuations in currency markets (such as the Canadian dollar to United States dollar exchange rate); change in national and local government, legislation, taxation, controls regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formation pressures, cave-ins and flooding); inability to obtain adequate insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability of increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); and title to properties. Such factors are described in detail in the Supplements and the documents incorporated by reference in the Supplements.

Forward-looking statements contained herein are made as of the date of this news release and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results, except as may be required by applicable securities laws. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements and there may be other factors that cause results not to be anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information.

Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

FAQ

What were the details of Integra Resources' recent financing?

Integra Resources closed a bought deal financing, issuing 6,785,000 shares at $3.40 each, raising $23,069,000.

Who participated in Integra Resources' offering?

The offering was led by Raymond James Ltd. and included underwriters like Cormark Securities and National Bank Financial.

What will Integra Resources do with the proceeds from the offering?

The proceeds will be used for exploration and pre-feasibility studies at the DeLamar Project and for general corporate purposes.

How much did Coeur Mining increase its stake in Integra Resources?

Coeur Mining increased its ownership from approximately 4.8% to 5.6% by purchasing 735,294 common shares in the offering.