NovaGold Resources to raise $75 million from 13.6 million share offering to Quantum Partners

NovaGold Resources to issue 13.6M shares

VANCOUVER, British Columbia — NovaGold Resources said Monday that it wants to raise $75 million by issuing 13.6 million new shares to be sold to private investment fund Quantum Partners.

The move comes days after NovaGold announced another stock sale that, in total, will raise $175 million.

The company said it intends to use the money to finance general exploration and development and for general corporate purposes that could include potential acquisitions.

On Thursday, the company announced its intent to raise $100 million by issuing 18.2 million shares at $5.50 per share to several investment funds managed by Paulson & Co.

The new shares being sold to Quantum, a fund managed by Soros Fund Management, also will be priced at $5.50 per share.

Both offerings are expected to close by Thursday.

NovaGold shares rose 5 cents to $6.40 in trading Monday morning. The shares have traded between $2.11 and $6.98 over the past year.

The company has mineral properties in the U.S. and Canada.