New Found Gold Closes C$115 Million Bought Deal Financing & Full Over-Allotment Exercise

New Found Gold has closed a C$115 million bought deal financing, including the full exercise of the underwriters' over-allotment option, with proceeds directed to advancing the Queensway Gold Project and general corporate purposes.

Company Overview

New Found Gold Corp. (TSXV: NFG | NYSE American: NFGC) is an emerging Canadian gold producer with assets in Newfoundland and Labrador, Canada. The company holds a 100% interest in the Queensway Gold Project and the Hammerdown Gold Project, which includes the Hammerdown deposit and Pine Cove milling and tailings facilities. The company completed a preliminary economic assessment (PEA) at Queensway in July 2025 and is currently focused on advancing Queensway to production and bringing the Hammerdown deposit into commercial gold production.

Financing Structure & Pricing

New Found Gold closed a bought deal public offering of 38,870,000 common shares at C$2.96 per share on April 27, 2026, generating gross proceeds of C$115,055,200. The transaction included the full exercise of the underwriters' over-allotment option for 5,070,000 common shares at the offering price. The offering was completed pursuant to an underwriting agreement dated April 22, 2026, between the company and a syndicate led by BMO Capital Markets and SCP Resource Finance LP, including Canaccord Genuity Corp., National Bank Financial Inc., Paradigm Capital Inc., Roth Canada, Inc., ATB Cormark Capital Markets, Beacon Securities Limited, CIBC Capital Markets, Desjardins Capital Markets and Stifel Canada.

The company paid aggregate cash fees of C$5,160,441 to the underwriting syndicate. The fee structure consisted of 5.25% of gross proceeds from the main offering and 1.0% of gross proceeds from sales pursuant to a president's list. BMO Capital Markets received C$1,967,418, SCP Resource Finance LP received C$1,722,297, and Canaccord Genuity Corp., National Bank Financial Inc., Paradigm Capital Inc., and Roth Canada, Inc. each received C$245,121. ATB Cormark Capital Markets, Beacon Securities Limited, CIBC Capital Markets, Desjardins Capital Markets and Stifel Canada each received C$98,048.

Institutional Participation & Shareholder Composition

EdgePoint Investment Group Inc. and Eric Sprott participated in the offering with co-lead orders. Sprott maintained his approximately 19% shareholdings following the transaction. Certain directors and officers of the company also participated directly or indirectly in the offering. The participation by Sprott and company insiders constituted a related party transaction within the meaning of Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions (MI 61-101). The company relied on exemptions from valuation and minority shareholder approval requirements contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101.

Use of Proceeds & Capital Allocation

Net proceeds from the offering will be used to advance the company's 100% owned Queensway Gold Project and for general corporate and working capital purposes. In July 2025, the company completed a PEA at Queensway. Recent drilling continues to yield new discoveries along strike and down dip of known gold zones, indicating district-scale potential across a strike extent of more than 110 kilometres along two prospective fault zones at Queensway.

Regulatory Structure & Distribution Mechanics

The common shares were offered in all provinces and territories of Canada, excluding Quebec and Nunavut, by way of a prospectus supplement to the company's short-form base shelf prospectus dated May 23, 2025. The common shares were also offered by way of a US prospectus supplement to the company's base shelf prospectus forming part of the company's registration statement on Form F-10 in the United States. The offering remains subject to final approval of the TSX Venture Exchange (TSXV).

Next Steps

The company is currently focused on advancing Queensway to production and bringing the Hammerdown deposit into commercial gold production. Throughout 2025, New Found Gold built a new board of directors and management team and has a solid shareholder base, which includes cornerstone investor Eric Sprott. The company is focused on growth and value creation.