Mogotes Metals raises $19.2 million through share issuance

Mogotes Metals Inc. has announced the completion of a share issuance, raising approximately $19.2 million in gross proceeds. The company issued 39,186,369 common shares at a price of $0.49 per share.

The offering was driven by the exercise of subscription rights by CD Capital Fund IV L.P., which will increase its ownership to 19.9% on a partially diluted basis. Insiders participated significantly in the transaction, acquiring 36,689,414 shares.

As a related party transaction, the issuance relies on specific exemptions under Multilateral Instrument 61-101. The proceeds are intended for general corporate purposes and working capital. The closing of the transaction remains subject to regulatory approvals, including those from the TSX Venture Exchange. The newly issued shares are subject to a four-month and one-day hold period.