Canada’s Asante Gold Corporation said on August 12 it has received the net proceeds from its C$237mn ($172mn) equity offering, marking a key step in a $500mn financing plan to expand its mining operations in Ghana.

The funds were released after meeting escrow conditions tied to a July private placement of 163.3mn subscription receipts at C$1.45 each. Those receipts have converted into common shares, subject to a statutory hold period until November 8, 2025.

Dual-listed Asante also restructured its obligations to Kinross Gold Corporation in a deal worth more than $130mn. The settlement included a $53mn cash payment, nearly 37mn shares at C$1.45, and an $80mn secured convertible debenture. 

In exchange, Kinross released its security interest in the Chirano Mine, accepting a subordinate package aligned with Asante’s senior lenders. The Kinross shares and debenture are under a hold until December 13, 2025.

The equity proceeds form part of the first stage of Asante’s financing strategy, due to close by August 15, which also includes a $125mn mezzanine facility, a $50mn gold stream, a $10mn private placement and a $5mn senior debt draw.

Investor Appian Capital Advisory received warrants for more than 16mn shares at C$1.67, expiring in 2029, linked to its $175mn participation.

Asante said the funds will be used to develop and expand its Bibiani and Chirano gold mines, retire short-term debt and boost working capital.