Billionaire Sprott invests in GoldSpot AI
Machine learning mineral explorer receives sizable financing Metal Tech News – June 16, 2021
Last updated 6/15/2021 at 2:58pm
GoldSpot Discoveries Corp. June 14 announced a C$9.15 million financing from mining investment magnate Eric Sprott, adding on to his previous 13.1% shares, now owning nearly one-fifth of the artificial intelligence mineral exploration company.
"Eric is one of our earliest supporters and a valued shareholder in GoldSpot. This C$9.15 million investment at a premium to the market is a strong endorsement of our company and the management team as we develop and acquire licensable products to build robust, reoccurring revenue streams," said Denis Laviolette, executive chairman and president of GoldSpot Discoveries. "Alongside our recent oversubscribed C$11.5 million private placement, this investment further strengthens the company's cash position and demonstrates continued investor confidence in GoldSpot as we execute our diversified acquisition and revenue strategies."
Earlier this month, GoldSpot had announced a private placement of its shares, earning C$11.5 million from the sale. Combined with this most recent offering, GoldSpot has yielded substantial funding for its AI-based exploration methods.
In the latest financing, Sprott acquired 9.38 million shares at C97.5 cents per share to raise aggregate gross proceeds of C$9,145,500. Combined with the 14.3 million GoldSpot shares he already held, the renowned natural resource investor now owns 19.9% of the AI mineral exploration technology company's issued and outstanding shares on a non-diluted basis.
Billionaire Eric Sprott has had many dealings with numerous mining companies throughout Canada and Alaska, investing tens of millions into the mining sector.
An avid supporter of mineral exploration and, even more so, gold, Sprott has invested heavily in mining companies exploring properties across Canada and Alaska over the past two years. The mining mogul acquired GoldSpot shares for investment purposes, with the option to purchase or sell on market trends.
GoldSpot Discoveries has seen a meteoric rise since its founding in 2016, with only just last year finding monumental success in its machine learning algorithm, particularly during a year where gold was historically the highest price it has ever been.
With stock prices climbing from C30 cents a share in January to almost a dollar, the viability of the company's use of artificial intelligence to assist in the exploration for gold and other metals is finally beginning to show its potency.