ST. JOHN'S Oct. 08, 2025 (GLOBE NEWSWIRE) – Sokoman Minerals Corp. (TSXV: SIC) (OTCQB: SICNF) says it has entered into an agreement with Canaccord Genuity Corp., as lead underwriter on behalf of a syndicate of Underwriters to be formed in connection with a "bought deal" private placement. The Company adds it has secured the commitment of Eric Sprott, an existing major shareholder, to participate in the offering.
Sokoman says the Offering will consist of 53,000,000 common shares of the company at a price of C$0.19 per Common Share for aggregate gross proceeds of C$10,070,000; and 53,000,000 common shares of the company that will qualify as "flow-through shares" at a price of C$0.265 per FT Share for aggregate gross proceeds of C$14,045,000.
The FT Shares are being distributed on a charity flow through basis.
The Underwriters will have the option to purchase up to an additional 7,950,000 common shares at the common share issue price additional gross proceeds of $1,510,500.
Sokoman says it expects to use the net proceeds from the sale of the common shares for property acquisitions as well as working capital and general corporate purposes.
The gross proceeds from the sale of the FT Shares will be used to incur Qualifying Expenditures as defined in the Tax Act that will qualify as "flow-through mining expenditures." Sokoman says the Qualifying Expenditures will be incurred on or before December 31, 2026 and will be renounced by the company to the initial purchasers of the FT Shares with an effective date no later than December 31, 2025.
Sokoman says that In the event it is unable to renounce Qualifying Expenditures in an aggregate amount equal to the gross proceeds raised from the issuance of the FT Shares, with an effective date of no later than December 31, 2025, or if the Qualifying Expenditures are otherwise reduced by the Canada Revenue Agency, it will, to the extent permitted by the Tax Act, indemnify each subscriber for the additional taxes payable.
Sokoman says insiders of the company may participate in the offering and any participation by Eric Sprott or other insiders will be considered a "related-party transaction" under Multilateral Instrument 61-101, but is expected to be exempt from the formal valuation and minority shareholder approval requirements on the basis that the fair market value of the consideration does not exceed 25 per cent of the company's market capitalization. The Offering is expected to close on or about October 29, 2025, and is subject to certain conditions including the receipt of all necessary regulatory and other approvals including the acceptance of the TSX Venture Exchange.
The Common Shares and FT Shares have not been registered and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.
Sokoman Minerals Corp., is an explorer along the Valentine Lake Fault zone in Newfoundland, Canada's newest gold district. The Company's primary focus is its 100 per cent owned Treasure Island Gold Project, along with a portfolio of gold projects, including the Fleur de Lys Project.
