Eight Capital and RBC Capital Markets are acting on behalf of a syndicate of underwriters that have agreed to buy 18.6 million shares in Osisko at an offering price of $13.45 per share.
On March 11, Osisko's share price closed at C$18.45 (US$14.64), which was the highest closing value since mid-2015. By March 20, it had fallen to C$16.54/share. Osisko had a market capitalisation of C$2.75 billion.
"The company plans to use the net proceeds from the offering for general corporate purposes, including funding resource-royalty and stream acquisitions, the potential repayment, from time to time, of amounts drawn under the company's revolving credit facility, and other corporate development opportunities," Osisko said.
The offering is expected to close on March 31.
Anchored by its 5% net smelter return royalty on Canada's largest gold mine, Malartic, Osisko has over 140 royalties, streams and offtakes across North America.