Hut 8 Mining Corp. (TSX: HUT) closed today its previously announced bought deal offering with a syndicate of underwriters led by Canaccord Genuity as sole bookrunner, and Stifel GMP. The company raised total gross proceeds of $115 million from the offering.
In connection with the offering, the company issued a total of 23.0 million units at $5.00 per unit. This includes the 3.0 million units from the full exercise of the 15% over-allotment option.
As previously stated, each unit contains one common share and one-half of a common share purchase warrant. Each whole warrant is exercisable to purchase a common share at $6.25 per share within two years from the issuance date.
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According to its filed prospectus, the company intends to use the net proceeds for business growth. Within the announcement of the offering, Hut 8 mentioned that the proceeds are intended for funding the expansion of its digital mining and power capacity, the purchase of additional mining equipment, potential M&A transactions or partnerships, and general corporate purposes and working capital.
The company also starts trading on the Nasdaq today under the ticker symbol “HUT”.
Hut 8 Mining Corp. last traded at $5.26 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
