By Adriano Marchese
American Eagle Gold shares are up after the company said it is set to raise up to 34.5 million Canadian dollars ($25.3 million) in a two-part financing that brings Eric Sprott in as a major new backer.
Shares surged 26% to C$1.18.
The TSX Venture-listed miner said Monday that it intends to complete a financing which includes issuing 19.2 million common shares on a premium flow-through basis at a price of C$1.20 a share and up to 14.9 million common shares at a price of C$0.77 apiece.
As part of the financing, Canadian precious metals investor Sprott -through a corporation beneficially owned and controlled by him - has agreed to acquire a stake of about 9.9% in American Eagle.
The company will use the new money to advance its NAK Project, which is located in central British Columbia.
American Eagle has previously agreed to grant South32 Group Operations and Teck Resources certain investor rights, which include an equity participation right in equity financings among others.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
March 02, 2026 11:48 ET (16:48 GMT)
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