Benzinga | Jul 22, 2020 05:46AM EDT

Golden Minerals Increases Previously Announced Bought Deal of Common Stock to $7.5M

Golden Minerals Company (NYSE:AUMN) ("Golden Minerals", "Golden" or "the Company") announced today that, due to demand, the underwriter has agreed to increase the size of the previously announced offering and purchase on a firm commitment basis 17,857,143 shares of common stock of the Company, at a price to the public of $0.42 per share, less customary underwriting discounts and commissions. The closing of the offering is expected to occur on or about July 23, 2020, subject to satisfaction of customary closing conditions.

H.C. Wainwright & Co. is acting as the sole book-running manager for the offering.

The Company also has granted to the underwriter a 30-day option to purchase up to an additional 2,678,571 shares of common stock at the public offering price, less customary underwriting discounts and commission. The gross proceeds to Golden, before deducting customary underwriting discounts and commissions and offering expenses and assuming no exercise of the option to purchase additional shares of common stock, are expected to be approximately $7,500,000. Golden intends to use the net proceeds of the offering for working capital requirements and general corporate purposes.