Homerun Resources Inc. has closed an initial C$2,000,000 tranche financing under a convertible security funding agreement with Lind Global Fund III, LP, managed by The Lind Partners.

The initial tranche provides near-term working capital alongside an aggregate of up to an additional C$13,000,000 in follow-on investments that remain subject to mutual agreement and applicable approvals. The convertible security carries a 24-month term and a face value of C$2,200,000, which comprises C$2,000,000 in principal and C$200,000 of pre-paid interest, alongside an $80,000 closing fee payable to Lind.

Under the agreement terms, Lind received 1,850,000 common share purchase warrants priced at C$0.66. The security is senior secured by a general security agreement over the company's assets and a share pledge across its active subsidiaries.

The funding structure includes a six-month repayment holiday, followed by monthly cash repayments of C$111,111 running from months 7 through 24. Lind holds the right to convert principal amounts into common shares at a fixed price of C$0.66, representing a 110% premium to the share price on the day prior to announcement.

The transaction was arranged through an engagement with The Benchmark Company, LLC, acting as exclusive placement agent, which involves a cash fee of $140,000 and the issuance of 233,333 common shares at a price of $0.60. Homerun has also signed a non-exclusive financial advisory relationship with StoneX Group Inc. to evaluate strategic financing alternatives, including a potential uplisting to a senior U.S. exchange. In addition, the company is advancing discussions regarding a contemplated export credit facility of up to €170 million from a European project finance bank for its solar glass project, subject to detailed due diligence and credit committee approvals.

Chief Executive Officer Brian Leeners noted that the financing and banking partnerships provide near-term working capital while preserving flexibility for larger-scale strategic initiatives.

“This financing and the investment banking partnerships with both Benchmark and StoneX provide Homerun with near-term working capital while preserving flexibility as we advance discussions around larger-scale strategic and institutional funding initiatives. We view this as a bridge to broader financing opportunities that supports our long-term growth objectives and uplisting plans, while seeking to manage dilution for our existing shareholder base .”

Following the closing of the initial tranche, Homerun intends to advance its broader vertical financing strategy and continue discussions regarding its funding initiatives.

Read the full announcement: Homerun Resources Inc. Announces Closing of Initial Tranche of Convertible Security Financing with the Lind Partners Under Engagements with Benchmark/StoneX