Candelaria Mining (TSXV: CAND) has upsized a previously announced private placement. Originally pegged at $7.8 million, the non-brokered private placement has now been increased to a total figure of up to $9.3 million.

The increase in the financing reportedly follows strong investor demand. The first tranche has also been closed, raising gross proceeds of $7.9 million via the issuance of 17.6 million units, which includes a $6.0 million subscription from Agnico Eagle Mines (TSX: AEM).

Under the terms of the financing, the company is looking to issue up to 20.7 million units at a price of $0.45 per unit. Each unit contains one common share and one half of a common share purchase warrants.

Warrants issued under the financing have a conversion price of $0.65 per common share and are valid for a period of three years from the date of issuance.

Proceeds from the financing are to be used for the development of the firms Caballo Blanco Project, as well as for general corporate purposes. The financing is slated to close October 31, 2021.

The financing by the company follows a bit of a debacle earlier this year, wherein the company had announced a $25.0 million brokered financing in April. Lead by Echelon Wealth Partners, the financing was to close on May 14. However, the day before scheduled closing it was extended, before ultimately being cancelled in June, two days after the revised closing date.

Candelaria Mining last traded at $0.55 on the TSX Venture.

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