On May 13, 2019, Euromax Resources Ltd. (TSX: EOX) ("Euromax") announced that it had closed its previously announced non-brokered private placement of units to one of its current major shareholders, Galena Resource Equities Limited ("Galena") for gross proceeds of $9,188,040.
In connection with the closing of the private placement, Galena has been granted the right to nominate two additional directors of Euromax's board of directors (for four directors in total) for such time as it (collectively with its affiliates) holds greater than 20% of Euromax's issued and outstanding common shares (calculated on a fully diluted basis). Euromax has also amended the off-take agreement entered into on April 6, 2018 with Trafigura such that Trafigura will have 100% ownership of the sale of copper concentrate produced at Ilovica-Shtuka.
As a result of the closing of the transaction, Galena will hold common shares and warrants representing 53.11% of the issued and outstanding common shares on a non-diluted basis and 69.38% on a partially diluted basis.
Euromax is a minerals development company whose corporate strategy is centered on the development of the Ilovica-Shtuka Project, the company's core copper and gold development project located in North Macedonia.
Galena Resource Equities Limited is controlled by Galena Asset Management S.A., the wholly-owned investment arm of the Trafigura Group, a world leading commodity trading firm.
Gowling WLG advised Galena with respect to this financing with a team that included Stuart Olley, Zafar Jaffer and Jason Mullins.