Lucara Diamond Corp announced an increase in its previously announced non-brokered private placement, now totaling 1,031,250,000 common shares at $0.16 per share, raising gross proceeds of $165 million. All amounts are in Canadian dollars unless stated otherwise. The company said the net proceeds will be used to advance the Karowe Underground Project (UGP), including shaft equipping, conveyance commissioning, lateral development, extraction, and drill horizon development.
Funds will also support general working capital and corporate purposes. William Lamb, President and CEO of Lucara, said, “The decision to upsize this equity financing reflects strong investor demand, led by the continued support of the Lundin Family Trusts. The upsized proceeds meaningfully strengthen the Company’s capacity to advance the Karowe UGP and execute key development milestones targeted for 2026.” The offered securities will be issued under exemptions from prospectus requirements and will be subject to a Canadian statutory hold period of four months and one day.
The company may pay a 5% finder’s fee on a portion of the placement. Completion remains subject to regulatory approvals, including the Toronto Stock Exchange and customary closing conditions. Lucara anticipates closing in late January. The upsized financing positions Lucara to continue development at Karowe without immediate need for additional equity, while leveraging strong support from its largest investors.
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