Faraday Copper (TSX:FDY) has entered into an agreement with Ventum Financial Corp to underwrite a brokered and non-brokered capital raise for up to C$30 million ($33.42 million) to advance its Copper Creek Project in the US.
As part of the deal, Ventum Financial Corp has agreed to purchase an aggregate 12.63 million shares on a bought deal private placement basis, at an issue price of C$1.10 per share. As a result, $15.04 million will be raised.
The company has also granted to the underwriters an option to increase the size of its brokered offering by up to an additional number of shares that is equal to 15% of the total number of shares to be issued under the brokered offering.
In connection with the offering, underwriters will receive an aggregate cash fee equal to 5% of the gross proceeds thereunder, including additional proceeds raised from the exercise of the underwriters’ option.
The offering is expected to close on or about 29 July 2025, subject to certain conditions including necessary regulatory approvals.
Concurrently, a non-brokered private placement of up to 13.63 million shares at C$1.10 per share to raise up to $15.04 million will be conducted. The Lundin Family Trusts have indicated their intention of subscribing in this offering.
The non-brokered offering will close on the same date as the brokered offering.
Faraday will use the funds for exploration and development at Copper Creek. The Copper Creek Project is a vast 3km-long porphyry copper deposit located in Arizona.
Faraday Copper is a critical minerals explorer and developer focused on growing US copper resources.
Write to Aaliyah Rogan at Mining.com.au
Images: Faraday Copper
