Osisko Development stock rises on $10 million placement; NYSE listing planned

Osisko Development (TSXV: ODV) has received expressions of interest for a non-brokered private placement of up to 2.85 million subscription receipts priced at $3.50 each to raise aggregate gross proceeds of up to $10 million.

Release of funds will be contingent on the completion of the company's proposed listing of its common shares on the New York Stock Exchange.

Osisko may increase the size of the offering by issuing additional subscription receipts in the future, subject to approval of the TSX Venture Exchange.

Each subscription receipt issued entitles the holder to receive one unit of Osisko, each comprising one common share and one common share purchase warrant. The warrants are exercisable at a price of $6.00 per share for a period of five years following the date of issue.

Proceeds of the offering are expected to be used to advance the development of Osisko's mineral assets. These include the flagship Cariboo gold project in central British Columbia and the San Antonio gold project in Sonora, Mexico.

Earlier this year, the company expanded its portfolio by acquiring the producing Trixie gold mine located in the Tintic mining district of central Utah.

Osisko Development's stock jumped 15.0% by 12:15 p.m. EST following the financing and NYSE listing news. The gold developer has a market capitalization of $935.1 million.

This article originally appeared on www.Mining.com.