Golden Star Resources closes $34.5M bought deal

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By Ted Liu

Golden Star Resources Ltd. (TSX: GSC; NYSE MKT: GSS; GSE: GSR) has completed previously announced bought deal financing of 31,363,950 common shares, which includes shares issued upon full exercise of the over-allotment option, at CDN $1.10 per share for gross proceeds of CDN $34,500,345.

The offering was led by Clarus Securities Inc. and included National Bank Financial Inc., BMO Capital Markets, Scotia Capital Inc., and CIBC World Markets Inc.

Fasken Martineau DuMoulin LLP and Stikeman Elliott LLP acted legal counsels to Golden Star Resources and the underwriters respectively.

Golden Star Resources intends to use the net proceeds to fund: 1) exploration projects; 2) capital expenditures at the Wassa Gold Mine and the Prestea Gold Mine; 3) the partial repayment of 5% convertible debentures; and 4) working capital and general corporate purposes.

photo credit: Golden Star Resources