Silver Crown Royalties Inc. has completed a non-brokered private placement with strategic investor Michael Gentile, raising approximately C$3,000,000. The transaction involved Gentile subscribing for 424,500 units at C$7 per unit, with each unit consisting of one common share and one warrant exercisable at C$8.25 for three years.
The company plans to allocate the proceeds primarily toward specific accretive silver royalties it has identified and is advancing, while also bolstering general working capital. This capital infusion positions Silver Crown to expand its portfolio and capitalize on what it describes as a favorable outlook for rising silver prices.
Following the offering, Michael Gentile now indirectly owns and exercises control over 424,500 common shares, 424,500 warrants, and 50,000 stock options, representing approximately 18.52% of the issued and outstanding common shares on a partially diluted basis. Prior to this investment, Gentile did not own any securities in the company.
As required by securities regulations, Gentile has filed an Early Warning Report in connection with his acquisition. Copies of this report will appear on the company's profile on the System for Electronic Document Analysis and Retrieval at https://www.sedarplus.ca.
The common shares and warrants underlying the units will be subject to a statutory hold period of four months plus one day from the closing date. No finder's fees or commissions were paid in connection with the offering.
For business leaders and technology investors monitoring the precious metals sector, this strategic investment represents a significant vote of confidence in Silver Crown's royalty-focused business model. The company's approach offers exposure to silver prices while mitigating production-related cost inflation, providing what it describes as a natural hedge against currency devaluation.
The transaction's structure, with warrants exercisable at a premium to the offering price, aligns investor and company interests toward future growth. This capital injection comes at a time when silver demand is increasing across both industrial and investment applications, particularly in technology sectors including electronics, solar panels, and electric vehicles.
Silver Crown currently holds five silver royalties and operates as a publicly traded company listed on multiple exchanges under the symbols Cboe:SCRI, OTCQX:SLCRF, and FRA:QS0. The company's business model focuses on generating free cash flow while minimizing economic burdens on mining projects.
The original release for this announcement can be viewed on https://www.newmediawire.com. The securities involved in this private placement have not been registered under United States securities laws and may not be offered or sold in the United States absent registration or applicable exemption.
