Northern Star Resources (NST) is pleased to announce that is has successfully completed an institutional placement to raise ~A$175 million through the issue of ~26.1 million new shares.

The Placement was completed at A$6.70 per share, representing a 3.7% discount to the last closing price of A$6.96 (as at 29 August 2018) and a 3.5% discount to NST’s 5-day VWAP of A$6.94 (as at 29 August 2018). Proceeds from the Placement will be used to help fund the acquisition of the high-grade 4.1Moz Pogo underground gold mine in Alaska from Sumitomo Metal Mining (85% interest) and Sumitomo Corporation (15% interest) for an acquisition price of US$260 million (A$347 million) with the balance being funded from Northern Star’s existing cash reserves. The Placement was heavily-oversubscribed, demonstrating overwhelming shareholder support for the Pogo acquisition and the Northern Star business model. The Pogo acquisition lifts Northern Star to Australia’s 2nd largest gold producer.