Collective Mining Completes C$46.35 Million Concurrent Financing to Support Guayabales Project Expansion

Collective Mining Ltd. (NYSE: CNL, TSX: CNL) has finalized a combined public and private financing, raising gross proceeds of C$46.35 million. The financing, structured as an upsized “bought deal” public offering along with a concurrent private placement, is intended to fund further exploration at the company’s Guayabales Project in Colombia and other corporate initiatives.

The public offering included 8,050,000 common shares priced at C$5.00 per share, generating C$40.25 million. The transaction was managed by a syndicate of underwriters led by BMO Capital Markets, with participation from Clarus Securities Inc. and Scotia Capital, among others, under the terms of an agreement signed on October 28, 2024. Additionally, a non-brokered private placement was completed with a strategic investor purchasing 1,226,235 shares at the same price per share, amounting to C$6.13 million. The private placement enabled the investor to maintain approximately a 9.99% ownership stake, in line with existing equity participation rights.

Collective Mining says that it intends to deploy the capital to advance exploration efforts at the Guayabales Project and to evaluate other development opportunities. The project is anchored by the Apollo system, a high-grade copper-silver-gold-tungsten resource. The funds will also be used for general corporate expenses.

The public offering was conducted in accordance with Canadian securities regulations, as outlined in the company’s Prospectus Supplement dated October 28, 2024, filed in all Canadian provinces except Quebec and Nunavut. In the United States, the shares were sold under exemptions from registration provided by Rule 506(b) of Regulation D and Section 4(a)(2) of the Securities Act of 1933 for private placements.

This financing structure remains subject to the final approval of the Toronto Stock Exchange (TSX). Certain directors and officers of Collective Mining participated in the public offering, which constitutes a “related party transaction” under Multilateral Instrument 61-101. The company is exempt from the valuation and shareholder approval requirements under the instrument, as the participation represented less than 25% of its market capitalization.

Collective Mining’s flagship Guayabales Project is situated in Caldas, Colombia, an area with established mining infrastructure. For more information, visit the Collective Mining website.