VANCOUVER, BC, Sept. 2, 2020 /PRNewswire/ - International Tower
Hill Mines Ltd. (TSX: ITH) (NYSE-American: THM) (the "Company")
announced today that its existing three largest shareholders have
each taken their pro-rata share of a US $10.3 million At-The-Market ("ATM") Offering,
pursuant to which the Company has issued 5,670,997 common shares
(representing 3% of the 187.6 million shares previously issued and
outstanding) at the September 1, 2020
closing market price of US $1.40 per
share for aggregate gross proceeds of US $7.9 million.
On August 31, 2020, the Company
entered into a sales agreement with B. Riley Securities, Inc. ("B.
Riley"), pursuant to which the Company will be entitled, at its
discretion and from time-to-time during the term of the sales
agreement, to sell through B. Riley such number of common shares of
the Company as would result in aggregate gross proceeds to the
Company of up to US $10.3 million
(the "Offering"). No offers or sales of common shares will be made
in Canada through the facilities
of the Toronto Stock Exchange or other trading markets.
Under the already closed portion of the Offering, each of the
existing three largest shareholders of the Company elected to
purchase their pro-rata share: Paulson & Co. Inc. ("Paulson"),
which acquired 2,337,410 shares, Sprott Asset Management
USA ("Sprott"), which acquired
1,111,386 shares, and Electrum Strategic Opportunities Fund II,
L.P. ("Electrum"), which acquired 1,042,201 shares. Kopernik
Global Investors LLC ("Kopernik"), the Company's fourth largest
shareholder, elected to increase its participation by several times
its pro-rata share, and acquired 1,180,000 shares. Following
completion of the Offering, it is anticipated that Paulson will own
approximately 31.8% of the issued and outstanding shares, Sprott
will own 15.1%, Electrum will own 14.2%, and Kopernik will own
4.6%.
The Company intends to raise an additional US $2.4 million through the ATM as market conditions
warrant (representing approximately 1% of the September 1, 2020 market cap of approximately US
$260 million). The Company intends to
use the proceeds of the Offering for working capital and general
corporate purposes, including the completion of the Pre-Feasibility
Study ("PFS") announced on July 15,
2020 to further de-risk the Livengood Gold Project and for
environmental baseline studies.
The Offering is being made through B. Riley as sales agent. The
prospectus supplement filed by the company on September 1, 2020 adds to, updates or otherwise
changes information contained in the accompanying prospectus
contained in a shelf registration statement on Form S-3 (File No.
333-240276). Prospective investors should read the prospectus, the
prospectus supplement and other documents the Company has filed
with the SEC (some of which are incorporated by reference into the
prospectus and prospectus supplement) for more complete information
about the Company, the ATM and the risks the Company currently
faces. You may obtain copies of the prospectus supplement and
accompanying prospectus relating to the offering without charge by
visiting the SEC's website at www.sec.gov.
This news release does not constitute an offer to sell or the
solicitation of an offer to buy securities, nor shall there be any
sale of these securities in any jurisdiction in which such an
offer, solicitation or sale would be unlawful prior to registration
or qualification under the securities laws of any such
jurisdiction.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. controls a 100% interest of
the Livengood Gold Project, located along the paved Elliott
Highway, 70 miles north of Fairbanks,
Alaska.
On behalf of
International Tower Hill Mines Ltd.
(signed) Karl L.
Hanneman
Chief Executive Officer
Cautionary Note Regarding Forward-Looking
Statements
This press release contains forward-looking
statements and forward-looking information (collectively,
"forward-looking statements") within the meaning of applicable
Canadian and US securities legislation. All statements, other
than statements of historical fact, included herein, including
statements with respect to the proposed use of the proceeds of the
Offering by the Company, the ability of the Company to carry out
and complete optimization studies with respect to the Livengood
Gold Project, the ability of the Company to advance the Livengood
Gold Project, the potential development of any mine at Livengood,
business and financing plans and business trends are
forward-looking statements. Although the Company believes
that such statements are reasonable, it can give no assurance that
such expectations will prove to be correct. Forward-looking
statements are typically identified by words such as: believe,
expect, anticipate, intend, estimate, postulate, proposed, planned,
potential and similar expressions, or are those, which, by their
nature, refer to future events. The Company cautions
investors that any forward-looking statements by the Company are
not guarantees of future results or performance, and that actual
results may differ materially from those in forward-looking
statements as a result of various factors, including, but not
limited to, the use of proceeds from the Offering, the potential
inability of the Company to raise the necessary capital or to be
fully able to implement its business strategies, and other risks
and uncertainties disclosed in the Company's annual report on Form
10-K and other reports filed with the United States Securities and
Exchange Commission, and certain securities commissions in
Canada and other information
released by the Company and filed with the appropriate regulatory
agencies. All of the Company's Canadian public disclosure
filings may be accessed via www.sedar.com and its United States public disclosure filings may be
accessed via www.sec.gov, and readers are urged to review these
materials, including the latest technical report filed with respect
to the Livengood Gold Project.
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SOURCE International Tower Hill Mines Ltd.