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Klondex Mines Ltd. completes C$129.5M subscription receipt offering

Date closed: 8/18/2016

Value: C$129.5 million

On August 18, 2016, Klondex Mines Ltd. (the Company) closed its bought deal private placement offering of 25,900,000 subscription receipts of the Company at a price of C$5.00 per Subscription Receipt for aggregate gross proceeds of C$129.5 million, which included the exercise in full of the underwriters' option. The private placement was underwritten by a syndicate of underwriters co-led by GMP Securities LP and BMO Capital Markets.

The gross proceeds of the offering, less certain expenses and commission payable to the underwriters, will be held in escrow upon the satisfaction or waiver of all material conditions precedent to the proposed acquisition of all the membership interests of Carlin Resources LLC, which entity owns, among other assets, the Hollister mine and the Esmeralda mine and ore milling complex located in Nevada, USA.

The Company is a junior gold and silver mining company engaged in the acquisition, exploration and development of mineral properties, with current mineral properties in Nevada, USA and Manitoba, Canada.

BLG represented GMP Securities LP led by Andrew Powers with a team that included Mark Wheeler and Linda Tu.