Golden Minerals announces $2.25M registered direct offering
Golden Minerals announced that it has entered into definitive agreements with institutional investors for an offering of shares of common stock with gross proceeds of $2.25M. The offering is expected to close on or about July 19, 2019, subject to the satisfaction of customary closing conditions. H.C. Wainwright & Co. acted as the exclusive placement agent in connection with this offering. The Company will issue to the investors approximately 8.65M registered shares of common stock at a purchase price of 26c per share in a registered direct offering. Additionally, for each share of common stock purchased by an investor, such investor will receive an unregistered warrant to purchase one share of common stock. The warrants have an exercise price of 35c per share, shall be exercisable commencing six months from the date of issuance and will expire five years from the initial exercise date. Each of the investors in this offering holds warrants that were issued by the Company in May 2016 and are exercisable until November 2021. In connection with this transaction, the Company has agreed to exchange the May 2016 warrants for an equal number of new warrants with an exercise price of 35c exercisable until May 2022. The Company intends to use the proceeds from the offering for working capital requirements and general corporate purposes.