Osisko Development Announces Upsizing of Previously Announced "Bought Deal" Life Offering; Additional Concurrent Private Placement
Rhea-AI Summary
Osisko Development (NYSE: ODV) upsized its bought‑deal financing to C$60.0 million on Oct 9, 2025. The LIFE Offering totals C$49,999,980 across three tranches: 2,990,000 FT Shares at C$6.69 (C$20,003,100), 1,444,000 BC FT Shares at C$6.93 (C$10,006,920) and 4,182,000 Common Shares at C$4.78 (C$19,989,960). A concurrent private placement will issue 2,092,100 Common Shares at C$4.78 for C$10,000,238. Net proceeds of approximately C$30 million are intended for Cariboo Gold Project construction and pre‑construction activities. Closings expected on or about Oct 29, 2025, subject to regulatory approvals and customary conditions.
Positive
- Total financing upsized to C$60.0M
- Flow‑through proceeds of C$30,010,020 (FT + BC FT)
- Approximately C$30M earmarked for Cariboo Gold Project construction
Negative
- Issuance of 6,274,100 common shares under the LIFE and concurrent placements
- Concurrent Private Placement shares subject to 4 months + 1 day hold period
- Closing subject to regulatory approvals and must occur by 45th day from Oct 8, 2025
News Market Reaction
On the day this news was published, ODV declined 8.78%, reflecting a notable negative market reaction. Argus tracked a peak move of +3.8% during that session. Argus tracked a trough of -6.9% from its starting point during tracking. Our momentum scanner triggered 37 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $86M from the company's valuation, bringing the market cap to $897M at that time. Trading volume was very high at 3.1x the daily average, suggesting heavy selling pressure.
Data tracked by StockTitan Argus on the day of publication.
Total Upsized Offering of C
MONTREAL, Oct. 09, 2025 (GLOBE NEWSWIRE) -- Osisko Development Corp. (NYSE: ODV, TSXV: ODV) ("Osisko Development" or the "Company") is pleased to announce that, as a result of excess demand, it has entered into an amending agreement with the underwriters to increase the size of its previously announced "bought deal" financing to C
LIFE Offering
As a result of the Amendment, Osisko Development will now issue three tranches of shares pursuant to the LIFE Exemption (as defined herein) for aggregate gross proceeds of C
- National Flow-Through Shares: 2,990,000 common shares of the Company (the "FT Shares") that will qualify as "flow-through shares" within the meaning of subsection 66(15) of the Income Tax Act (Canada) (the "Tax Act") at a price of C
$6.69 per FT Share for gross proceeds of C$20,003,100 ; - British Columbia Flow-Through Shares: 1,444,000 common shares of the Company to certain eligible British Columbia resident subscribers (the "BC FT Shares", and together with the FT Shares, the "Flow-Through Shares") that will qualify as "flow-through shares" within the meaning of subsection 66(15) of the Tax Act at a price of C
$6.93 per BC FT Share for gross proceeds of C$10,006,920 ; and - Common Shares: 4,182,000 common shares of the Company (the "Common Shares") at a price of C
$4.78 per Common Share for gross proceeds of C$19,989,960.
Concurrent Private Placement
As a result of the Amendment, Osisko Development will also complete a concurrent "bought deal" private placement of 2,092,100 Common Shares at a price of C
The Company intends to use the net proceeds of the Common Shares issued pursuant to the LIFE Offering and Concurrent Private Placement, being approximately C
In all other respects, the terms of the LIFE Offering, including the use of proceeds of the Flow-Through Shares, will remain as previously disclosed in the original news release of the Company dated October 8, 2025 and entitled "Osisko Development Announces C
Closing of the LIFE Offering and the Concurrent Private Placement are expected to occur on the same date, being on or about October 29, 2025 (the "Closing Date"), and remain subject to certain conditions including, but not limited to, the receipt of all necessary regulatory approvals, including the conditional approval of the TSX Venture Exchange and the New York Stock Exchange. Notwithstanding the foregoing, the Closing Date must occur no later than the 45th day following the date of the Launch Release on October 8, 2025.
The LIFE Offering will be made pursuant to the listed issuer financing exemption available under Part 5A of National Instrument 45-106 – Prospectus Exemptions ("NI 45-106"), as amended by Coordinated Blanket Order 45-935 – Exemptions from Certain Conditions of the Listed Issuer Financing Exemption (the "LIFE Exemption") in each of the provinces and territories of Canada. The Common Shares under the LIFE Offering may also be offered, and the Flow-Through Shares may also be offered (or re-offered), in such offshore jurisdictions as may be agreed to by the Company and the underwriters pursuant to available prospectus or registration exemptions in accordance with applicable laws provided that no prospectus filing or comparable obligation arises in connection with the sale of the Common Shares or the Flow-Through Shares in such other jurisdiction. The Common Shares and the Flow-Through Shares issued under the LIFE Exemption will not be subject to a statutory hold period pursuant to applicable Canadian securities laws.
The Concurrent Private Placement will be conducted on a private placement basis pursuant to available exemptions under NI 45-106, other than the LIFE Exemption, in each of the provinces and territories of Canada, and in such offshore jurisdictions as may be agreed to by the Company and the underwriters pursuant to available prospectus or registration exemptions in accordance with applicable laws provided that no prospectus filing or comparable obligation arises in connection with the sale of the Common Shares in such other jurisdiction. The Common Shares issued under the Concurrent Private Placement will be subject to a statutory hold period of four months and one day pursuant to applicable Canadian securities laws.
This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), or any U.S. state securities laws, and may not be offered or sold in the United States absent registration under the U.S. Securities Act and all applicable U.S. state securities laws or in compliance with an exemption therefrom.
ABOUT OSISKO DEVELOPMENT CORP.
Osisko Development Corp. is a continental North American gold development company focused on past-producing mining camps located in mining friendly jurisdictions with district scale potential. The Company's objective is to become an intermediate gold producer by advancing its flagship permitted
For further information, visit our website at www.osiskodev.com or contact:
| Sean Roosen | Philip Rabenok |
| Chairman and CEO | Vice President, Investor Relations |
| Email: sroosen@osiskodev.com | Email: prabenok@osiskodev.com |
| Tel: +1 (514) 940-0685 | Tel: +1 (437) 423-3644 |
CAUTION REGARDING FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking information" (within the meaning of applicable Canadian securities laws) and "forward- looking statements" (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995). Such statements or information are identified with words such as "anticipate", "believe", "expect", "plan", "intend", "potential", "estimate", "propose", "project", "outlook", "foresee" or similar words suggesting future outcomes or statements regarding any potential outcome. Such statements in this news release may include, without limitation, statements pertaining to: the size of the Offering and the Concurrent Private Placement, the use of the net proceeds from the Offering and the Concurrent Private Placement, the closing of the Offering and the Concurrent Private Placement, the tax treatment of the Flow-Through Shares, the timing and ability of the Company to renounce the Qualifying Expenditures and the ability to obtain the necessary regulatory authority approvals. Such forward-looking information or statements are based on a number of risks, uncertainties and assumptions which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. Actual results could differ materially due to a number of factors, including, without limitation, marketing of the Offering and the Concurrent Private Placement, and satisfying the conditions of closing of the Offering and the Concurrent Private Placement, including the requirements of the New York Stock Exchange and the TSX Venture Exchange (if at all). Although the Company believes that the expectations reflected in the forward-looking information or statements are reasonable, prospective investors in the Company securities should not place undue reliance on forward-looking statements because the Company can provide no assurance that such expectations will prove to be correct. Forward-looking information and statements contained in this news release are as of the date of this news release and the Company assumes no obligation to update or revise this forward-looking information and statements except as required by law.
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 news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
FAQ
What did Osisko Development (ODV) announce on October 9, 2025?
How many flow‑through shares and proceeds are included in ODV's LIFE Offering?
How will ODV use the net proceeds from the C$60M financing?
When is the expected closing date for ODV's LIFE Offering and concurrent private placement?
Are there resale restrictions on the shares issued in the offerings (ODV)?
How many Common Shares will be issued in the concurrent private placement for ODV?
