Radisson Announces C$57 Million Strategic Investment by Agnico Eagle to Support an Advanced Underground Exploration Program
Rhea-AI Summary
Radisson Mining Resources (OTCQX:RMRDF) announced a strategic C$57.16 million private placement with Agnico Eagle Mines, which agreed to purchase 53,420,000 units at C$1.07 per unit, a 6% premium to Radisson's August 21, 2026 closing price and 19% above its 20‑day VWAP.
Each unit includes one common share and one‑half warrant; each whole warrant is exercisable at C$1.39 for 60 months and may be accelerated after 24 months if VWAP exceeds C$1.85 for 20 consecutive trading days. On closing, Agnico Eagle is expected to hold about 10.45% of Radisson's common shares (non‑diluted) and 14.90% on a partially diluted basis.
According to Radisson, proceeds will fund an advanced underground exploration program at the 100%-owned O'Brien Gold Project in Québec, including an access ramp, underground and surface infrastructure, and water management, while its separate 140,000‑metre step‑out drilling program remains fully funded from existing cash. An investor rights agreement will grant Agnico Eagle board nomination and pro‑rata participation rights and impose specified restrictions on certain mineral property transactions through December 31, 2028. Closing is subject to TSX Venture Exchange approval and customary conditions.
Positive
- C$57.16 million strategic financing fully priced at a 6% market premium and 19% VWAP premium
- Agnico Eagle to become a significant shareholder with 10.45% non‑diluted and 14.90% partially diluted ownership
- Financing earmarked to launch advanced underground exploration program at O'Brien Gold Project
- Private placement structured with no commissions or finder’s fees payable
- Long‑dated warrants with 60‑month term and higher C$1.39 exercise price provide potential future capital inflow
Negative
- Issuance of 53,420,000 new units implies material equity dilution for existing shareholders
- Investor rights agreement restricts certain mineral property transactions through December 31, 2028
- Agnico Eagle granted board nomination and ongoing equity participation rights, increasing influence over corporate governance and future financings
News Explained
Engineering and permitting for Radisson’s advanced underground exploration program will commence immediately, but the
AI-generated analysis. How Rhea-AI works. Not financial advice.
Rouyn-Noranda, Quebec--(Newsfile Corp. - August 24, 2026) - Radisson Mining Resources Inc. (TSXV: RDS) (OTCQX: RMRDF) ("Radisson" or the "Company") is pleased to announce that it has entered into a subscription agreement with Agnico Eagle Mines Limited ("Agnico Eagle"), pursuant to which Agnico Eagle has agreed to subscribe for and purchase 53,420,000 units of the Company (the "Units") at a price of C
The Investment will support the commencement of an advanced underground exploration program (the "Program") at Radisson's
Each Unit consists of one Class A common share (a "Common Share") and one-half of one Common Share purchase warrant (each whole warrant, a "Warrant"). The subscription price of C
Matt Manson, President and CEO: "We are very happy to welcome Agnico Eagle as a significant shareholder for the next stage of exploration and development at the O'Brien Gold Project. This is a milestone step for Radisson. The Advanced Underground Exploration Program that will now commence is designed to extend our understanding of potential mining conditions at O'Brien, including the continuity of mineralization, the geotechnical setting, potential mining methods, and processing criteria. It also establishes a development schedule for O'Brien. As this underground work advances, our ongoing 140,000-metre surface drill program of exploration step-outs will continue as planned, funded from our existing cash resources. Recent results have indicated extensive gold mineralization with good continuity beneath the former O'Brien mine and the current mineral resources to at least 1.9 kilometres depth. In May of this year, we announced our intention to extend our drilling ambition to 2.5 kilometres depth (see Radisson news release dated May 28, 2026). Now, this investment by Agnico Eagle will fund the first modern underground access at O'Brien, which will assist us in developing the Project's full potential."
On Closing of the Investment, the Company and Agnico Eagle will enter into an investor rights agreement ("IRA") pursuant to which Agnico Eagle will be granted certain rights, provided that it maintains certain ownership thresholds, including: (i) the right to nominate one person (and in the case of an increase in the size of the Company's Board of Directors to eight or more directors, two persons) to the Company's Board of Directors; and (ii) the right to participate in certain equity offerings in order to maintain or acquire up to the greater of Agnico Eagle's then-current ownership interest and an ownership interest of
Closing is subject to customary conditions for a transaction of this nature, including approval of the TSX Venture Exchange.
About Radisson Mining
Radisson is a gold exploration company focused on its
Matt Manson
President and CEO
416.618.5885
mmanson@radissonmining.com
Kristina Pillon
Manager, Investor Relations
604.908.1695
kpillon@radissonmining.com
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 PRESS RELEASE.
Forward-Looking Statements
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information in this news release includes, but is not limited to, statements regarding: completion and timing of the Investment; satisfaction of the conditions to closing, including approval of the TSX Venture Exchange; the issuance of the Units and Warrants and Agnico Eagle's resulting ownership interest in the Company; the entering into and operation of the investor rights agreement, including the participation, top-up, and board nomination rights, the restrictions applicable to specified transactions involving the Company's mineral properties; the commencement, scope, timing and advancement of the Program, including engineering, permitting, ramp development, related surface infrastructure and water management facilities; the allocation and use of the proceeds of the Investment; the continuation and results of the Company's ongoing drill program; the potential growth of the Project's mineral resources; and the evaluation and potential development of O'Brien, including potential development scenarios involving existing regional infrastructure.
Forward-looking information is based on assumptions and estimates that management considers reasonable as of the date of this news release, including assumptions regarding the satisfaction of closing conditions, receipt of required regulatory and Exchange approvals, the availability of permits and other authorizations, project schedules and costs, geological and technical results, commodity prices, access to labour, equipment and services, and the Company's ability to execute its planned exploration and development activities. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied, including the risk that the Investment is not completed on the terms or timing currently contemplated or at all; that required approvals or permits are delayed or not obtained; that the Program or use of proceeds changes; that actual costs, schedules, geological, geotechnical, metallurgical or other technical results differ from expectations; risks inherent in mineral exploration and development; commodity price and capital market volatility; changes in laws and regulations; and other risks described in the Company's public disclosure. Although the Company believes the assumptions underlying such forward-looking information are reasonable, no assurance can be given that they will prove correct. Readers should not place undue reliance on forward-looking information. The Company does not undertake to update or revise any forward-looking information except as required by applicable law.
Please refer to the "Risks and Uncertainties Related to Exploration" and the "Risks Related to Financing and Development" sections of the Company's Management's Discussion and Analysis dated April 23, 2026 for the year ended December 31, 2025 available electronically on SEDAR+ at www.sedarplus.ca. All forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/310988