06:37 AM EDT, 05/22/2024 (MT Newswires) -- Solaris Resources ( SLSR ) overnight Tuesday said underwriters agreed to buy about 7.2 million of its common shares on a bought deal at $4.90 per share, raising about $35 million.

The underwriters may also opt to buy up to an additional 1.2 million common shares, or about 15% of the offering size. The over-allotment option is exercisable up to 30 days after the offering closes. If the over-allotment option is exercised fully, Solaris will receive an additional $5.3 million, bringing the total proceeds to $40.3 million.

Net proceeds will be used to fund an expanded exploration and infill drilling program at the Warintza project in Ecuador, as well as enhanced regional exploration activities, including fieldwork on 10 new exploration concessions. The rest will be used for working capital and general corporate purposes.

The offering is scheduled to close on June 10, subject to TSX and NYSE American approval and other conditions.

Solaris fell 3.5% to $5.24 per share on Tuesday.