Sun Peak Metals closes $6.7 million private placement offering

Sun Peak Metals Corp. (TSXV:PEAK)(OTCQB: SUNPF) announced it closed an oversubscribed private placement offering for gross proceeds of $6.7 million on November 27, 2025.

The offering consisted of 16,032,470 subscription receipts of a wholly owned subsidiary at $0.35 per receipt for proceeds of $5.6 million, and 3,020,736 subscription receipts of Sun Peak at $0.35 per receipt for proceeds of $1.1 million.

The company completed the offering in connection with its proposed acquisition of Saudi Discovery Company SPV Limited. Net proceeds will be used for advancement of Sun Peak's Shire VMS Project, working capital, general corporate purposes, and initial exploration work at the acquired company's properties upon transaction completion.

Sun Peak paid cash finder's fees totaling $131,121.46, representing 6% of gross proceeds raised by finders. The company also issued 299,760 finder's warrants of the subsidiary and 56,873 finder's warrants of Sun Peak to finders.

Company insiders subscribed for 500,000 subsidiary subscription receipts and 1,730,000 Sun Peak subscription receipts for aggregate proceeds of $780,500. The insider participation constituted a related party transaction under TSX Venture Exchange policies.

The subscription receipts will automatically convert to units upon satisfaction of escrow release conditions, which include completion of the acquisition and receipt of shareholder approval at a special meeting scheduled for December 1, 2025. If conditions are not satisfied by February 25, 2026, the subscription receipts will be cancelled and funds returned to holders.

The offering requires final approval from the TSX Venture Exchange. All securities issued are subject to a four-month hold period from the closing date.

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