Contango ORE slides on pricing stock-and-warrants offering

HighGold Mining

11/06/2024 13:56

(Updates with pricing details)
    ** Shares of Contango ORE  CTGO.N  down 20.6% premarket to
$19.79, nearly 1-mth low, after gold miner's follow-on prices
    ** Fairbanks, Alaska based co early Tues announces 731,750
units at $20.50 for $15 mln raise
    ** Each unit comprises one share of common and one-half
warrant. Each whole warrant exercisable to purchase one share at
$26 for period of 3 years
    ** CTGO on Mon closed at $24.92
    ** Co said plans to use net offering proceeds for general
purposes, including continued exploration of the Lucky Shot
Project and exploration of HighGold’s Johnson Tract, part of
HighGold acquisition it anticipates closing by July 2024
    ** In early May, Contango said it would buy Canada's
Highgold Mining  HIGH.V  in deal valued at approx $37 mln (C$51
mln)
    ** Contango has ~9.6 mln shares outstanding for $240 mln
market cap, and ~5.6 mln shares of free float, per LSEG data
    ** CTGO is very thinly traded. Stock's 50-DMA volume is
around 50k
    ** Through Mon, stock up 38% YTD

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))