10:08 AM EST, 12/10/2024 (MT Newswires) -- Electric Royalties ( ELECF ) was edging down early Tuesday after it overnight Monday entered into a deal with agents, on a "best efforts" basis, related to a private placement of near 22.2 million units of the company at C$0.18 each for gross proceeds of up to about C$4 million.

The company said each unit will be comparised of one common share and one common share purchase warrant of the company. Each warrant will entitle the holder to buy one common share of the company at C$0.25 per warrant share for two years following the closing of the offer.

Net proceeds of the offering, which is expected to close on or about Dec. 20, are to be used to complete the acquisition of the 0.75% Gross Revenue Royalty relating to the Punitaqui copper mine in Chile und for general corporate purposes, said Electric Royalties ( ELECF ).

Shares of the company were down $0.01 at C$0.21 on the TSX Venture Exchange.

Price: 0.21, Change: -0.01, Percent Change: -4.55