Electra Announces Marketed Offering of Units for Proceeds of up to approximately US$8 Million to Finance Commissioning of Cobalt Refinery
November 08 2022 - 4:01PM
Business Wire
Electra Battery Materials Corporation (NASDAQ: ELBM; TSX-V:
ELBM) (“Electra” or the “Company”) plans to
undertake an overnight-marketed public offering of units of the
Company (the “Units”) on a “best efforts” basis led by
Cantor Fitzgerald Canada Corporation. Each Unit is expected to
consist of one common share in the capital of the Company (a
“Common Share”) and one full warrant to purchase one Common
Share for a period of 36 months, at a price per Unit and final
terms to be determined in the context of the market, for expected
gross proceeds of up to approximately US$8 million (~C$11 million)
(the “Equity Offering”).
The Company has filed today a preliminary prospectus supplement
(the “Prospectus Supplement”) to its final short form base
shelf prospectus dated November 26, 2020, as amended by amendment
no. 1 dated November 30, 2021 (collectively, the “Base Shelf
Prospectus”) in connection with the Equity Offering. The
Prospectus Supplement was filed with the securities regulatory
authorities in each of the provinces of Canada, except Québec. The
Prospectus Supplement was also filed with the U.S. Securities and
Exchange Commission (the “SEC”) as part of a registration
statement on Form F-10 (File No. 333-264982), effective upon filing
with the SEC on May 16, 2022, in accordance with the
Multijurisdictional Disclosure System established between Canada
and the United States.
The Units are being offered (i) to the public in each of the
provinces of Canada, other than Québec, (ii) in the United States,
and (iii) in such other international jurisdictions, as the Company
and the dealers agree.
The Company intends to use the net proceeds of the Equity
Offering for capital expenditures associated with the expansion and
recommissioning of the Company’s wholly-owned hydrometallurgical
cobalt refinery, including buildings, equipment, infrastructure,
and other direct costs, as well as engineering and project
management costs.
The Equity Offering is expected to close on or about November
15, 2022, and is subject to customary closing conditions including
the receipt of all necessary regulatory approvals, including the
approval of the TSX Venture Exchange and notification to The Nasdaq
Stock Market. There can be no assurance as to whether or when the
Equity Offering may be completed, or as to the actual size or terms
of the Equity Offering.
Cantor Fitzgerald Canada Corporation is acting as lead agent and
sole bookrunner for the Equity Offering.
The Prospectus Supplement and the accompanying Base Shelf
Prospectus contain important detailed information about the Equity
Offering. The Prospectus Supplement and the accompanying Base Shelf
Prospectus can be found without charge on SEDAR at www.sedar.com
and on EDGAR at www.sec.gov. Copies of the Prospectus Supplement
and accompanying Base Shelf Prospectus may also be obtained in
Canada from Cantor Fitzgerald Canada Corporation, Attn: Equity
Capital Markets, 181 University Avenue, Suite 1500, Toronto, ON,
M5H 3M7, email: ecmcanada@cantor.com, or in the United States from
Cantor Fitzgerald & Co., Attn: Capital Markets, 499 Park
Avenue, 4th Floor, New York, New York 10022 or by email at
prospectus@cantor.com. Prospective investors should read the
Prospectus Supplement and the accompanying Base Shelf Prospectus,
and the other documents the Company has filed, before making an
investment decision.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy, nor shall there be any sale of the
securities in any jurisdiction in which such offer, solicitation or
sale would be unlawful.
About Electra Battery Materials
Electra is a processor of low-carbon, ethically-sourced battery
materials.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
Cautionary Note Regarding Forward-Looking Statements
This news release may contain forward-looking statements and
forward-looking information (together, “forward-looking
statements”) within the meaning of applicable securities laws and
the United States Private Securities Litigation Reform Act of 1995.
All statements, other than statements of historical facts, are
forward-looking statements. Generally, forward-looking statements
can be identified by the use of terminology such as “plans”,
“expects', “estimates”, “intends”, “anticipates”, “believes” or
variations of such words, or statements that certain actions,
events or results “may”, “could”, “would”, “might”, “occur” or “be
achieved”. Such forward-looking statements include, without
limitation, statements regarding the size, pricing, terms, and
timing of closing of the offering, the receipt of all necessary
approvals, and the expected use of proceeds. Forward-looking
statements involve risks, uncertainties and other factors that
could cause actual results, performance, and opportunities to
differ materially from those implied by such forward-looking
statements. Factors that could cause actual results to differ
materially from these forward-looking statements are set forth in
the management discussion and analysis and other disclosures of
risk factors for Electra Battery Materials Corporation, filed on
SEDAR at www.sedar.com and with on EDGAR at www.sec.gov. Although
Electra Battery Materials Corporation believes that the information
and assumptions used in preparing the forward-looking statements
are reasonable, undue reliance should not be placed on these
statements, which only apply as of the date of this news release,
and no assurance can be given that such events will occur in the
disclosed times frames or at all. Except where required by
applicable law, Electra Battery Materials Corporation disclaims any
intention or obligation to update or revise any forward-looking
statement, whether as a result of new information, future events or
otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20221108006137/en/
Joe Racanelli Vice President, Investor Relations
info@ElectraBMC.com 1.416.900.3891
Electra Battery Materials (NASDAQ:ELBM)
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