Royal Road Minerals' (TSX-V: RYR) shares jumped over 8% by mid-day Friday, following the announcement of a C$5million ($3.7m) private placement from Agnico Eagle Mines.
Agnico Eagle now owns 42,512,708 ordinary shares of Royal Road, representing over 19% of the issued and outstanding ordinary shares of Royal Road on a non-diluted basis.
Royal Road is an exploration company with gold and copper projects in Nicaragua and Columbia.
In January 2018, Barrick grabbed a stake in Royal Road in a $1.3 million deal.
In 2018, Royal Road acquired three Columbian exploration assets from AngloGold Ashanti. The proceeds of Agnico's placement will be used to finance Royal Road's acquisition of assets in Colombia and for working capital.
On Friday afternoon, Royal Road's shares were trading at 20 Canadian cents on the TSX. The company has a C$37.4 million market capitalization.