Millennial Potash Corp (TSX-V:MLP, OTCQB:MLPNF, FRA:XOD) announced that it has closed its previously announced bought-deal private placement, raising gross proceeds of about C$17.5 million.
The company issued 5.75 million units at a price of C$3.05 per unit, including the full exercise of an option granted to the underwriters to purchase up to an additional 15% of the units.
The offering was led by Cantor Fitzgerald Canada Corporation as lead underwriter and sole bookrunner, alongside SCP Resource Finance LP.
In addition, Millennial said it closed a concurrent non-brokered private placement of 245,901 units at the same price, generating an additional C$750,000 in gross proceeds.
Each unit consists of one common share and one-half of one common share purchase warrant. Each full warrant entitles the holder to purchase one common share at an exercise price of C$4 for a period of 36 months from the closing date.
The company said the net proceeds will be used to fund costs associated with a definitive feasibility study for its Banio Potash Project in Gabon, as well as for general working capital and other corporate purposes.