Integra Resources (ITR.V, ITRG) has now closed the previously announced C$20M bought deal of subscription receipts in conjunction with its plans to acquire Florida Canyon Gold (FCGV.V). The company issued 14.9 million subscription receipts at a price of C$1.35 per sub receipt. Upon completing the acquisition of Florida Canyone, each subscription receipt will be converted into one common share of Integra as this essentially is a no-warrant financing.
Meanwhile the arbitrage opportunity discussed last week still exists. Integra closed at C$1.29 on Friday while FCGV ended the week at C$0.56. Using the 0.467 ITR shares per FCGV share conversion ratio, buying FCGV basically means you are buying integra at C$1.20 if the deal gets completed.
Disclosure: The author has a long position in Integra Resources and no position in Florida Canyon Gold. Integra Resources is a sponsor of the website. Please read the disclaimer.
