The company priced 3M shares at C$60.50 each in a bought-deal offering, triggering a sharp decline in its stock price.
Altius Minerals (ATUSF) fell 14.1% in Wednesday trading following the announcement of a C$181.5M bought-deal stock offering. The company issued 3M shares at C$60.50 per share, with underwriters holding an option to purchase an additional 15% of the shares.
The offering price represents a discount to the prior closing price, a common practice in such deals to attract investors. The proceeds are expected to fund growth initiatives or reduce debt, though specific use of funds was not disclosed.
The stock’s decline reflects investor dilution concerns and immediate selling pressure from the offering’s structure.