New Found Gold Announces $205M Finance Package
Rhea-AI Summary
New Found Gold (TSXV: NFG | NYSE American: NFGC) announced a C$205 million finance package on April 20, 2026 consisting of a C$100M bought deal equity offering (33.8M shares at C$2.96) and a C$105M senior secured credit facility with EdgePoint.
Proceeds will fund Queensway Gold Project Phase I capex, Hammerdown ramp-up, and general corporate purposes; closing is subject to TSXV and NYSE American approvals and expected around April 27, 2026.
AI-generated analysis. Not financial advice.
Positive
- Total financing of C$205M secured for development
- Bought deal: 33.8M shares at C$2.96 raising ~C$100M
- Credit facility: C$105M with two tranches (C$70M/C$35M)
- Tranche 2 optionality gives up to 12 months flexibility
Negative
- Equity issuance dilutes existing shareholders by 33.8M new shares
- Credit facility carries 8.75% fixed annual interest and 2% OID
- Warrants issued on funding (aggregate US$9M) could add share dilution
News Market Reaction – NFGC
On the day this news was published, NFGC gained 6.94%, reflecting a notable positive market reaction. Argus tracked a peak move of +2.9% during that session. Argus tracked a trough of -4.1% from its starting point during tracking. Our momentum scanner triggered 14 alerts that day, indicating notable trading interest and price volatility. This price movement added approximately $52M to the company's valuation, bringing the market cap to $807.80M at that time. Trading volume was above average at 2.0x the daily average, suggesting increased trading activity.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Gold peers show mixed moves: DC (+2.83%), CMCL (+0.34%), GROY (+1.06%), IDR (+7.23%), while GAU is down (-0.39%). Only GAU appears in the momentum scanner with a -4.59% move, indicating this financing news is largely stock-specific rather than a broad sector rotation.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 25 | Year-end disclosures filed | Neutral | -7.7% | Filed 2025 annual financials and Form 40-F with regulators. |
| Mar 17 | Hammerdown NI 43-101 report | Neutral | -2.7% | Filed NI 43-101 PEA technical report for Hammerdown project. |
| Mar 05 | Queensway loan term sheet | Positive | -3.9% | Entered non-binding term sheet for up to US$75M senior secured debt. |
| Feb 26 | Hammerdown PEA update | Positive | -5.7% | Released PEA and updated mineral resource estimate for Hammerdown. |
| Feb 02 | Queensway drill results | Positive | +0.7% | Reported high-grade, near-surface drill results at Keats zone, Queensway. |
Recent positive development updates (PEA, financing term sheet) often saw negative 24h price reactions, while technical or routine filings drew mixed-to-negative responses, suggesting a tendency for sell-offs on good news.
Over the last few months, New Found Gold has advanced both Queensway and Hammerdown through economic studies, technical reports and financing steps. A Feb 2, 2026 Keats drilling update with very high grades saw a small gain. Subsequent PEA and resource updates for Hammerdown on Feb 26 and a Queensway loan term sheet on Mar 5 were followed by price declines. Filing of Hammerdown technical reports and 2025 year-end disclosure in mid-to-late March also coincided with negative reactions. Today’s finance package slots into this ongoing build-out of project funding and technical de-risking.
Market Pulse Summary
The stock moved +6.9% in the session following this news. A strong positive reaction aligns with the material size and clarity of this $205M financing package, which fully outlines equity, debt and warrant components. Historically, some economically positive updates around Queensway and Hammerdown were followed by selling, so a large gain following this announcement could mark a break from that pattern. Investors would need to watch how equity dilution, warrant overhang and execution on Queensway Phase I and Hammerdown development affect sentiment over time.
Key Terms
bought deal financial
senior secured credit facility financial
base shelf prospectus regulatory
prospectus supplement regulatory
registration statement regulatory
original issue discount financial
warrants financial
first-lien security interests financial
AI-generated analysis. Not financial advice.
The Base Shelf Prospectus is accessible, and the Prospectus Supplement will be accessible, within two business days, through SEDAR+
All amounts in Canadian dollars unless otherwise noted
VANCOUVER, British Columbia, April 20, 2026 (GLOBE NEWSWIRE) -- New Found Gold Corp. (“New Found Gold” or the “Company”) (TSXV: NFG | NYSE American: NFGC) is pleased to announce a finance package consisting of (i) a
“We are pleased to announce this comprehensive finance package, consisting of an at-market equity bought deal financing and a senior secured credit facility at superior terms to those previously contemplated. With today’s announcement, we have secured funding for the initial capital expenditures required to bring our flagship Queensway Gold Project-Phase I into production, in line with our development schedule. The participation of EdgePoint as the underwriter of the credit facility, as well as co-lead on the equity component of this finance package, is a testament to the quality of the Queensway asset and the Company’s ability to deliver on its mandate of getting to cash flow. We thank our long-time cornerstone investor Eric Sprott and our newest shareholder, EdgePoint, along with existing and other new shareholders, for their participation in the equity portion of this finance package,” commented Keith Boyle, CEO of New Found Gold.
“We are excited to partner with the New Found Gold team in the development of Queensway. This opportunity aligns with our strategy of investing in assets that demonstrate compelling economics in attractive mining jurisdictions,” CIO of EdgePoint, Frank Mullen, commented. “Queensway is uniquely positioned for near-term cash flow via a rapid path to production with excellent exploration upside potential which should translate into attractive project economics.”
The Company will not be proceeding with the secured loan facility and warrants issuance contemplated in the non-binding term sheet with Nebari Natural Resources Credit Fund II, LP (see the New Found Gold press release dated March 5, 2026).
Bought Deal Financing
The Company has entered into an agreement with BMO Capital Markets and SCP Resource Finance LP, on behalf of themselves and a syndicate of underwriters, (collectively, the “Underwriters”) co-led by BMO Capital Markets and SCP Resource Finance LP, under which the Underwriters have agreed to buy, on a “bought deal” basis, 33,800,000 common shares of the Company (the “Common Shares”) at a price of
The net proceeds from the Offering will be used by the Company to advance its
The Common Shares will be offered in all of the provinces and territories of Canada, excluding Quebec and Nunavut, by way of a prospectus supplement (the “Prospectus Supplement”) to the Company’s short form base shelf prospectus dated May 23, 2025 (the “Base Shelf Prospectus”). The Common Shares will also be offered by way of a U.S. prospectus supplement to the Company's base shelf prospectus (collectively, the "U.S. Prospectus") forming part of the Company’s registration statement on Form F-10 in the United States. The Offering is expected to close on or about April 27, 2026.
The closing of the Offering is subject to the Company receiving all necessary regulatory approvals, including the approval of the TSX Venture Exchange (the “TSXV”) and authorization of the NYSE American LLC (the “NYSE American”).
Access to the Prospectus Supplement, the Base Shelf Prospectus and any amendments thereto are provided in Canada in accordance with securities legislation relating to the procedures for providing access to a shelf prospectus supplement, a base shelf prospectus and any amendment to such documents. The Base Shelf Prospectus is, and the Prospectus Supplement will be within two business days from the date hereof, accessible through SEDAR+ at www.sedarplus.ca.
An electronic or paper copy of the Prospectus Supplement, the Base Shelf Prospectus and the U.S. Prospectus, and any amendment to these documents, may be obtained, without charge, from BMO Nesbitt Burns Inc., Brampton Distribution Centre C/O The Data Group of Companies, 9195 Torbram Road, Brampton, Ontario, L6S 6H2 by telephone at 905-791-3151 Ext 4312 or by email at torbramwarehouse@datagroup.ca, and in the United States by contacting BMO Capital Markets Corp., Attn: Equity Syndicate Department, 151 W 42nd Street, 32nd Floor, New York, NY 10036, or by telephone at (800) 414-3627 or by email at bmoprospectus@bmo.com by providing BMO Capital Markets with an email address or mailing address, as applicable.
The Company has filed a registration statement (including a prospectus) with the Securities and Exchange Commission (the “SEC”) for the offering to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, the Company, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling (800) 414-3627. Copies of the Base Shelf Prospectus and Prospectus Supplement, when available, can be found under the Company’s profile on SEDAR+ at www.sedarplus.ca, and a copy of the registration statement and U.S. Prospectus can be found on EDGAR at www.sec.gov.
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 Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.
Credit Facility
The Company has entered into a credit agreement with EdgePoint providing for a senior secured credit facility of up to
Pursuant to the Credit Facility, the funds will be advanced in two tranches:
In connection with the Credit Facility and subject to the approval of the TSXV and the authorization of the NYSE American, the Company will issue to EdgePoint non-transferable warrants for the purchase of Common Shares. Each warrant entitles the holder to purchase one Common Share. The warrants to be issued on the funding of Tranche 1 will have an aggregate value of US
All direct and indirect subsidiaries of the Company will guarantee the Credit Facility. The Company and such guarantors will secure the Credit Facility with first-lien security interests over all of their present and after-acquired real and personal property.
The proceeds of the Credit Facility will be used for general corporate and working capital purposes of the Company and its subsidiaries, including financing for the development of the Queensway Gold Project and the ramp up of the Hammerdown Gold Project.
Advisors
Cutfield Freeman & Co. Ltd. (“CF&Co“), an independent global mining finance advisory firm, is acting as financial advisors to the Company in relation to the Credit Facility and its overall project finance strategy (see the New Found Gold press release dated November 28, 2025). Blake, Cassels & Graydon LLP is acting as legal counsel to the Company. Miller Thomson LLP is acting as legal counsel to EdgePoint.
About EdgePoint
EdgePoint is an employee owned and investment led Canadian wealth management company, based in Toronto, Ontario.
About New Found Gold
New Found Gold is an emerging Canadian gold producer with assets in Newfoundland and Labrador, Canada. The Company holds a
In July 2025, the Company completed a PEA at Queensway (see New Found Gold press release dated July 21, 2025). Recent drilling continues to yield new discoveries along strike and down dip of known gold zones, pointing to the district-scale potential that covers a +110 km strike extent along two prospective fault zones at Queensway.
Throughout 2025, New Found Gold built a new board of directors and management team and has a solid shareholder base which includes cornerstone investor Eric Sprott. The Company is focused on growth and value creation.
Keith Boyle, P.Eng.
Chief Executive Officer
New Found Gold Corp.
Contact
For further information on New Found Gold contact us through our investor inquiry form on our website or contact:
Fiona Childe, Ph.D., P.Geo.
Vice President, Communications and Corporate Development
Phone: +1 (416) 775-2700
Email: contact@newfoundgold.ca
Qualified Person
The scientific and technical information disclosed in this press release was reviewed and approved by Keith Boyle, P.Eng., CEO, and a Qualified Person as defined under NI 43-101. Mr. Boyle consents to the publication of this press release by New Found Gold. Mr. Boyle certifies that this press release fairly and accurately represents the scientific and technical information that forms the basis for this press release.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Information
This press release contains certain “forward-looking statements” within the meaning of Canadian and United States securities legislation, including statements regarding the Offering, including the closing of the Offering and the timing thereof, the proceeds of the Offering and the use of such proceeds, and the approval by the TSXV and authorization of the NYSE American of the Offering; the filing of the Prospectus Supplement and the U.S. Prospectus; funding of initial capital expenditures required to develop our flagship Queensway Gold Project; funds being advanced pursuant to Tranche 1 and Tranche 2 under the Credit Facility; issuance of warrants in Tranche 1 and Tranche 2 under the Credit Facility; approval by the TSXV and authorization of the NYSE American of the warrants; the use of proceeds of the Credit Facility; and Company’s focus on advancing Queensway to production and bringing the Hammerdown deposit into commercial gold production; and the Company’s focus on growth and value creation. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “interpreted”, “intends”, “estimates”, “projects”, “aims”, “suggests”, “indicate”, “often”, “target”, “future”, “likely”, “pending”, “potential”, “encouraging”, “goal”, “objective”, “prospective”, “possibly”, “preliminary”, and similar expressions, or that events or conditions “will”, “would”, “may”, “can”, “could” or “should” occur, or are those statements, which, by their nature, refer to future events. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made, and they involve a number of risks and uncertainties. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Except to the extent required by applicable securities laws and the policies of the TSXV and NYSE American, the Company undertakes no obligation to update these forward-looking statements if management’s beliefs, estimates or opinions, or other factors, should change. Factors that could cause future results to differ materially from those anticipated in these forward-looking statements include risks associated with the Company’s ability to complete exploration and drilling programs as expected, possible accidents and other risks associated with mineral exploration operations, the risk that the Company will encounter unanticipated geological factors, risks associated with the interpretation of exploration results and the results of the metallurgical testing program, the possibility that the Company may not be able to secure permitting and other governmental clearances necessary to carry out the Company’s exploration plans, the risk that the Company will not be able to raise sufficient funds to carry out its business plans, and the risk of political uncertainties and regulatory or legal changes that might interfere with the Company’s business and prospects. The reader is urged to refer to the Company’s Annual Information Form and Management’s Discussion and Analysis, publicly available through the Canadian Securities Administrators’ System for Electronic Document Analysis and Retrieval (SEDAR+) at www.sedarplus.ca and on the website of the United States Securities and Exchange Commission at www.sec.gov for a more complete discussion of such risk factors and their potential effects
