Redcorp Ventures Ltd. (TSX:RDV) has closed a $252 million stock and debt offering, the net proceeds of which will be used to develop and build its Tulsequah project in northwest B.C.
The zinc, copper and lead mine requires a startup capital investment estimated at $201.5 million.
Under the financing deal, Redcorp issued 141,975 Series D units at $1,000 per unit for a total of $141.9 million and 220 million Series E units at $0.50 a unit for total proceeds of $110 million.
Each Series D unit consisted of 320 Redcorp shares and a $1,000 redeemable note bearing 13% interest per year.
The offering was led by Paradigm Capital Inc. and included Canaccord Capital Corp., Dundee Securities Corp., Octagon Capital Corp., Blackmont Capital Inc. and MGI Securities Inc.
Redcorp's share price range during the past week: between $0.46 and $0.47; 52-week high: $0.93; 52-week low: $0.225.