Osisko Gold Royalties Ltd (TSX/NYSE: OR) announced that in connection with recently announced $284 million offering of convertible senior unsecured debentures which consists of a public offering and a private placement, the underwriters have exercised their option to increase the size of the private placement of debentures by $16 million, for total gross proceeds from the offering of $300 million.
Ressources Québec inc., a wholly-owned subsidiary of Investissement Québec (IQ), has committed to purchase $16 million of debentures through the private offering on the same terms and conditions as the $184 million public offering of debentures.
Osisko Gold Royalties debenture offering is now consisting of $184 million offering, $116 million private offering with The Public Sector Pension Investment Board (PSP Investments) ($100 million) and Investissement Québec ($16 million).
The offering is co-led by National Bank Financial Inc., BMO Capital Markets and Desjardins Capital Markets. Bennett Jones LLP and Stikeman Elliott LLP act as legal counsel to Osisko Gold Royalties and the underwriters respectively.
Osisko Gold Royalties intends to use net proceeds of the offering for working capital and general corporate purposes, including to fund the acquisition of precious metal royalties and streams, and other corporate development opportunities.
The offering is expected to close November 3, 2017.
photo credit: Osisko Gold Royalties