Electra Announces Pricing of Public Equity Offering
November 09 2022 - 1:42PM
Business Wire
Electra Battery Materials Corporation (NASDAQ: ELBM; TSX-V:
ELBM) (“Electra” or the “Company”) announced
today the pricing of its previously announced overnight-marketed
public offering (the “Equity Offering”) of units of the
Company (the “Units”) on a best efforts basis at a price of
US$2.35 per Unit for total gross proceeds of approximately US$5.5
million (~CAD$7.4 million). Each Unit shall be comprised of one
common share in the capital of the Company (each, a “Common
Share”) and one Common Share purchase warrant (each, a
“Warrant”). Each Warrant shall entitle the holder to
purchase one Common Share at US$3.10 at any time on or before the
date which is 36 months after the closing date of the Equity
Offering.
The Company has filed a preliminary prospectus supplement dated
November 8, 2022, as amended on November 9, 2022 (the
“Preliminary 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 of Units. The Preliminary Prospectus Supplement was filed
with the securities regulatory authorities in each of the provinces
of Canada, except Québec. The Preliminary 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
Company expects to file a final prospectus supplement (the
“Prospectus Supplement”) in connection with the Equity
Offering by no later than 5:30 pm (Toronto time) on November 9,
2022.
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 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/20221109005763/en/
Joe Racanelli Vice President, Investor Relations
info@ElectraBMC.com 1.416.900.3891
Electra Battery Materials (NASDAQ:ELBM)
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