USAU Rises 11% On News Of $31.2 Mln Equity Raise And Warrants

(RTTNews) - U.S. Gold Corp. (USAU) climbed 11.45%, closing at $22.92, up $2.36, after the company said it has closed a $31.2 million private placement of common shares and warrants.

The stock opened near $21.00, reached an intraday high of around $23.50, and saw a low of approximately $20.90, compared to its previous close of $20.56. USAU trades on the NasdaqGS.

U.S. Gold said it sold 1,922,159 common shares at $16.25 per share and warrants to purchase 961,077 shares at a $23.00 exercise price, generating gross proceeds of about $31.2 million.

The company said it intends to use the net proceeds for initial development costs at its CK Gold Project in Wyoming, potential land acquisitions, further exploration of properties, and general working capital.

Trading volume was reflecting heightened investor interest following the financing news. USAU's 52-week range is currently near $10-$23.50, with the stock rallying on the capital raise announcement.