Sonoro Gold Corp (TSX-V:SGO, OTCQB:SMOFF) reported that it has further increased its previously announced, fully subscribed, non-brokered private placement to 13.35 million units for gross proceeds of about C$2 million in response to what it called “strong investor demand”.
The exploration and project development company said net proceeds from the offering will be used to fund the ongoing development of its Cerro Caliche gold project in Mexico as well as working capital.
Sonoro Gold noted that the offering price remains $0.15 per unit and each unit will be comprised of one Sonoro common share plus one common share purchase warrant.
Each warrant entitles the holder to purchase one additional Sonoro common share for a period of two years from the closing of the private placement at an exercise price of C$0.22 per share.
All securities issued and issuable in connection with the offering will be subject to a four-month plus one-day hold period in Canada from the closing date.
The company added that it intends to pay finder’s fees, as permitted under the policies of the TSX Venture Exchange, in respect of units placed with the assistance of registered securities dealers.