Allied Gold Corp. Announces Completion Of Block Trade Transaction And Concurrent Public Offering
Allied Gold Corp. (TSX: AAUC) (OTCQX: AAUCF) ("Allied" or the "Company") is pleased to announce that its previously announced public offering (the "Offering") of 15,000,000 common shares of the Company at a price of C$5.35 per share, and the concurrent sale under a block trade (the "Concurrent Block Trade") of 15,000,000 common shares of the Company by a significant shareholder holding over 10 per cent of the outstanding shares at a price of C$5.35 per share have been completed. The Offering was completed by the Company through a syndicate of underwriters co-led by Canaccord Genuity Corp. and National Bank Financial Inc., and the Concurrent Block Trade was completed by the selling shareholder with Canaccord Genuity Corp. and National Bank Financial Inc. as principals. Enhancing market liquidity remains a key objective for the Company. Over the past 18 months, average daily trading volume-measured over a 20-day period-has increased approximately ninefold. The Concurrent Block Trade and the Offering are expected to further improve trading liquidity in advance of the Company's planned listing on the New York Stock Exchange. These transactions also support broader index inclusion and are aimed at attracting additional investor interest, all of which should help the Company's share price better reflect the Company's intrinsic value per share.
The Company intends to use the net proceeds from the Offering to fund its optimization and growth initiatives, including advancing studies and engineering work to improve recoveries at Sadiola, supporting exploration and mine life extension studies in Côte d'Ivoire, and conducting additional exploration and development activities across its broader asset portfolio. The proceeds of the Offering are expected to assist the Company in accelerating value creation from these assets and activities.
The shares under the Offering were issued pursuant to a short form prospectus supplement (the "Prospectus Supplement") dated April 17, 2025, to the Company's short form base shelf prospectus dated October 1, 2024, and on a private placement basis by way of a confidential offering memorandum pursuant to certain exemptions from the registration requirements of the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), and applicable state securities laws.
The securities being offered have not been, nor will they be, registered under the U.S. Securities Act, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.
Copies of the Prospectus Supplement and the accompanying base shelf prospectus dated October 1, 2024 are available on SEDAR+ at www.sedarplus.ca. Alternatively, the Prospectus Supplement and the accompanying base shelf prospectus may be obtained free of charge upon request by contacting the Chief Legal Officer and Corporate Secretary of Allied Gold Corporation at Royal Bank Plaza, North Tower, 200 Bay Street, Suite 2200, Toronto, Ontario M5J 2J3, telephone 416-363-4435, or by email at ir@alliedgold.com.
About Allied Gold Corporation
Allied is a Canadian-based gold producer with a significant growth profile and mineral endowment, operating a portfolio of three producing assets and development projects located in Côte d'Ivoire, Mali, and Ethiopia. Led by a team of mining executives with operational and development experience and a proven track record of creating value, Allied is progressing through exploration, construction, and operational enhancements to become a mid-tier, next-generation gold producer in Africa and ultimately a leading senior global gold producer.
CAUTIONARY STATEMENT REGARDING FORWARD LOOKING INFORMATION AND STATEMENTS
This press release contains "forward-looking information" under applicable Canadian securities legislation. Except for statements of historical fact relating to the Company, information contained herein constitutes forward-looking information, including, but not limited to, any information as to the Company's strategy, objectives, plans or future financial or operating performance. Forward-looking statements are characterized by words such as "plan", "expect", "budget", "target", "project", "intend", "believe", "anticipate", "estimate" and other similar words or negative versions thereof, or statements that certain events or conditions "may", "will", "should", "would" or "could" occur. Forward-looking information included in this press release includes, without limitation, statements with respect to the anticipated use of the net proceeds from the Offering, the expectation that the Offering and Concurrent Block Trade are expected to further enhance market liquidity for the Company's common shares in advance of the Company's planned listing on the New York Stock Exchange and also support broader index inclusion and are aimed at attracting additional investor interest, all of which is expected to help the Company's share price better reflect the Company's intrinsic value per share, and the Company's goals to become a mid-tier, next-generation gold producer in Africa and ultimately a leading senior global gold producer. Forward-looking information is based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made, and is inherently subject to a variety of risks and uncertainties and other known and unknown factors that could cause actual events or results to differ materially from those projected in the forward-looking information. These factors include any necessary re-allocation of proceeds from the Offering for prudent business reasons; the listing of the Company's common shares on the New York Stock Exchange not being completed, the proceeds from the Offering and the listing of the Company's common shares on the New York Stock Exchange not resulting in the benefits expected; fluctuating price of gold; risks relating to the exploration, changes in general economic, business and political conditions, including changes in the financial markets, changes in applicable laws, and government regulation; as well as those factors discussed in the section entitled "Economic Trends, Business Risks and Uncertainties" in the Company's management's discussion and analysis for the year ended December 31, 2024 and the section entitled "Risk Factors" in the Company's annual information form for the year ended December 31, 2024, both of which are available at www.sedarplus.ca. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that could cause actions, events or results to not be as anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates, assumptions or opinions should change, except as required by applicable law. The reader is cautioned not to place undue reliance on forward-looking information. The forward-looking information contained herein is presented for the purpose of assisting investors in understanding the Company's plans in connection with the completion of the Offering and information regarding the Concurrent Block Trade and may not be appropriate for other purposes.
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SOURCE Allied Gold Corporation
For further information, please contact:
Allied Gold Corporation, Royal Bank Plaza, North Tower, 200 Bay Street, Suite 2200, Toronto, Ontario M5J 2J3 Canada, Email: ir@alliedgold.com
