DynaResource, Inc. (OTCQX: DYNR) completed a non‑brokered private placement of 833,333 units of common stock at $1.20 per unit, raising $1,000,000. The transaction was closed on May 1, 2026 and was led by Ocean Partners UK Limited.
The proceeds will be used to strengthen the company’s balance sheet and fund ongoing operational initiatives, including continued focus on grade improvement at its San Jose de Gracia mine and the recovery of value‑added tax payments in Mexico. The company also plans to use the cash to address its worsening negative working capital, which fell from $15.3 million at the end of 2024 to $31.7 million at the end of 2025.
DynaResource’s financial position has been under pressure, with auditors raising substantial doubt about the company’s ability to continue as a going concern as of December 31, 2025. The company had $4.2 million in cash against an accumulated deficit of $65.4 million and $15 million in debt. The $1 million raise is modest relative to these challenges but provides a short‑term liquidity cushion.
The company has, however, shown a significant operational turnaround in 2025. Revenue rose 26% to $58.5 million, net income improved to $3.8 million from a $8.5 million loss in 2024, and adjusted EBITDA swung to $12.1 million from a negative $1.3 million. The turnaround has been driven in part by the deployment of Falcon gravity concentrators that have improved gold recoveries at the mine.
President and CEO Rohan Hazelton said, “These funds provide important near‑term support as we continue to execute on operational improvements and focus on key value‑driving initiatives within the business. Our priority remains enhancing mine performance while maintaining financial discipline and positioning the Company for longer‑term strategic growth.” The statement underscores the company’s intent to use the capital to sustain operational gains while managing its liquidity profile.
While the private placement offers a modest boost, analysts note that the company’s ongoing working‑capital deficit and going‑concern concerns mean that the $1 million will only provide temporary relief. The company will need to continue its operational improvements and cost discipline to restore a positive working‑capital balance and reduce its deficit.
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