NYSE American: GPL | TSX: GPR
(All dollar amounts expressed in US dollars unless otherwise
noted)
VANCOUVER, May 20, 2020 /CNW/ - Great Panther Mining Limited
(TSX:GPR; NYSE-A:GPL) ("Great Panther" or "the
Company") announces the closing of the bought deal financing
announced on May 13, 2020. Aggregate
gross proceeds totaled US$16.1
million, pursuant to which the Company issued 40,250,000
common shares at a price of US$0.40
per share ("the Offering").
The Offering was led by Cantor Fitzgerald Canada Corporation
("CFCC") and BMO Nesbitt Burns Inc. ("BMO"), as co-lead
underwriters and joint book-runners, on behalf of themselves and a
syndicate of underwriters, including H.C. Wainwright & Co., LLC
as lead manager, and Roth Capital Partners, LLC as
manager (collectively with CFCC and BMO, the
"Underwriters"). The Underwriters fully exercised their
over-allotment option to purchase 5,250,000 common shares and
received a cash commission equal to 6% of the gross proceeds of the
Offering.
Great Panther intends to use the net proceeds of the Offering
for near mine and regional exploration programs at the Tucano Gold
Mine, improvement of the Company's working capital balances and
general corporate purposes.
Great Panther President and CEO Rob
Henderson stated, "This financing provides additional
balance sheet strength to deliver our 2020 objectives and allows us
to advance the exploration programs underway at Tucano, where we
have 55,000 metres of drilling planned for 2020. We thank all
of you who participated in the financing for your ongoing
support."
The Offering was made by way of a prospectus supplement dated
May 14, 2020 (the "Prospectus
Supplement") to the Company's existing Canadian short form base
shelf prospectus (the "Base Shelf Prospectus") and U.S.
registration statement on Form F-10, as amended (File No.
333-231830) (the "Registration Statement"), each dated July 2, 2019. The Registration Statement was
declared effective by the United States Securities and Exchange
Commission (the "SEC") on July 5,
2019. The Prospectus Supplement has been filed with the
securities commissions in each of the provinces of Canada (other than Québec) and the
SEC. The Canadian Prospectus Supplement (together with the
related Canadian Base Shelf Prospectus) is available on the SEDAR
website maintained by the Canadian Securities Administrators at
www.sedar.com. The U.S. Prospectus Supplement (together with the
related U.S. Base Shelf Prospectus) is available on the SEC's
website at www.sec.gov.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy securities, nor will there be any
sale of the securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to the registration or
qualification under the securities laws of any such jurisdiction.
The securities being offered have not been approved or disapproved
by any regulatory authority, nor has any such authority passed upon
by the accuracy or adequacy of the Prospectus Supplement, the Base
Shelf Prospectus or the Registration Statement.
ABOUT GREAT PANTHER
Great Panther Mining Limited is a Vancouver-based intermediate gold and silver
mining and exploration company. Great Panther's operations
include the Tucano Gold Mine in Brazil, and the Topia Mine and Guanajuato Mine
Complex, comprising the San
Ignacio and Guanajuato
mines, in Mexico. It also owns the Coricancha Mine in
Peru which is currently on care
and maintenance. Great Panther trades on the Toronto Stock
Exchange trading under the symbol GPR, and on the NYSE American
under the symbol GPL.
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION
This news release contains forward-looking statements within the
meaning of the United States Private Securities Litigation Reform
Act of 1995 and forward-looking information within the meaning of
Canadian securities laws (together, "forward-looking
statements"). Such forward-looking statements include, but are
not limited to, statements regarding the anticipated use of
proceeds from the Offering and the planned drilling metres under
the Company's exploration program.
These forward-looking statements involve known and unknown
risks, uncertainties and other factors that may cause the actual
results, performance or achievements expressed or implied by such
forward-looking statements to be materially different. Such
factors include, among others, risks and uncertainties relating to
the market for Great Panther's securities, potential political and
social risks involving Great Panther's operations in a foreign
jurisdiction, the impact of the COVID-19 pandemic on Great
Panther's operations, the potential for unexpected costs and
expenses, fluctuations in metal prices, fluctuations in currency
exchange rates, physical risks inherent in mining operations,
operating or technical difficulties in mineral exploration, changes
in project parameters as plans continue to be refined, and other
risks and uncertainties, including those described in respect of
Great Panther, in its annual information form for the year ended
December 31, 2019 and material change
reports filed with the Canadian Securities Administrators available
at www.sedar.com and reports on Form 40-F and Form 6-K filed with
the Securities and Exchange Commission and available at
www.sec.gov.
There is no assurance that such forward looking statements will
prove accurate; results may vary materially from such
forward-looking statements; and there is no assurance that the
Company will be able to complete any sales of Common Shares under
the Offering or otherwise secure alternative financing
options. Readers are cautioned not to place undue reliance on
forward looking statements. The Company has no intention to
update forward looking statements except as required by law.
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SOURCE Great Panther Mining Limited