The Vancouver‑based exploration company Saga Metals announced that, further to its news release dated April 24, 2026, it has closed an over‑subscribed, non‑brokered private placement that generated aggregate gross proceeds of C$10,236,486.65. The financing sold 15,748,441 flow‑through common share units at C$0.65 per unit. Each unit includes a flow‑through common share as described in subsection 66(15) of the Income Tax Act (Canada) and one‑half of a transferable non‑flow‑through common share purchase warrant. These proceeds bolster Saga Metals treasury as the company advances multiple critical mineral projects across Canada.
Table of Contents:
Financing structure and investor instruments
The package issued to subscribers contains important elements that affect dilution and upside. Every whole warrant entitles the holder to purchase one non‑flow‑through common share at C$1.10, valid for 24 months from the closing date. The warrant shares created by exercise of those instruments will not qualify as flow‑through shares under the Tax Act. In addition, Saga Metals paid C$550,713.54 and issued 847,252 non‑transferable finder’s warrants to arm’s‑length parties, each exercisable into common shares at C$1.10 within a 24‑month window. Both warrants and finder warrants include an acceleration feature that allows the company to shorten the life of the instruments to 30 days following a news release if the common share closing price equals or exceeds C$1.75 for ten consecutive trading days on the TSX Venture Exchange.
Regulatory hold and US restrictions
All securities issued under the placement are subject to a statutory hold period of four months plus one day in accordance with applicable securities laws. Saga Metals emphasized that the securities have not been and will not be registered under the United States Securities Act of 1933, and therefore may not be offered or sold in the United States except where an exemption is available. These limitations align with typical cross‑border private placements and preserve the tax attributes of the flow‑through critical mineral mining expenditures for Canadian investors.
Use of proceeds and project priorities
The gross proceeds from the flow‑through units will be directed to Canadian exploration expenses</strong) that qualify as flow‑through critical mineral mining expenditures under the Tax Act, to be spent across the company portfolio. Saga Metals highlighted several priority assets that will benefit from the fresh capital, including the Radar Ti‑V‑Fe Project, the Wolverine heavy rare earth element project, the Double Mer Uranium Project, and the Legacy Lithium Project. Management underscores that the funding strengthens the company ahead of planned maiden resource work on two projects in the near term, supporting both exploration campaigns and permitting activities.
Project snapshots
The Radar Ti‑V‑Fe Project covers 24,175 hectares and fully encloses the Dykes River intrusive complex, mapped at about 160 square kilometres near Cartwright, Labrador, with 13,337 metres of drilling to date confirming vanadiferous titanomagnetite and ilmenite mineralization. Saga Metals also has a definitive agreement to acquire 100 percent of the Wolverine heavy rare earth element project, a near‑surface peralkaline caldera complex that shares geological similarities with known deposits. Reported drill results include assays up to 2.03 percent TREO with approximately 28 percent HREO distribution, and sample results up to 21.6 percent TREO. The Double Mer Uranium Project spans 25,600 hectares with an 18 kilometre radiometric trend and a confirmed 14 kilometre section yielding samples as high as 0.428 percent U3O8, based on the 2026 Double Mer Technical Report. The Legacy Lithium Project in Quebec covers 65,849 hectares and sits in a region with significant peer activity.
Marketing, governance and cautionary notes
Saga Metals also finalized an addendum to its March 5, 2026 marketing agreement with Capitaliz Marketing Inc. that increases the digital campaign budget by an additional C$200,000 while leaving the original terms intact. Capitaliz will provide investor awareness and digital marketing services, including content development and coordination with third parties, with no equity‑based or performance‑linked compensation payable under either the original agreement or the addendum. Management stated that all activities will be conducted under company oversight and in compliance with TSXV policies and securities laws.
On behalf of the board, CEO Mike Stier noted that the oversubscription signals investor confidence in the team and the projects, and that the financing gives Saga Metals the flexibility to advance exploration and deliver maiden resource estimates. For additional information, the company lists Rob Guzman in investor relations reachable at +1 (844) 724‑2638 or by email at rob@sagametals.com and via the corporate website www.sagametals.com. Saga Metals cautions readers that statements about expectations or plans are forward‑looking, involve risks and uncertainties, and are qualified by the companys continuous disclosure record, including factors such as market conditions, commodity price volatility, permitting and exploration risks, and other matters beyond management control. Nothing in this release constitutes an offer to sell securities in jurisdictions where offers would be unlawful, and the company will update forward‑looking information only as required by applicable law.