/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED
STATES/
TORONTO, Dec. 7, 2021 /CNW/ - Global Atomic Corporation
("Global Atomic" or the "Company") (TSX: GLO) (OTCQX: GLATF)
(FRANKFURT: G12) is pleased to announce that it has closed its
previously announced "bought deal" private placement (the
"Offering") for gross proceeds of C$35.0
million. Due to significant investor demand, the
Offering was upsized from its original gross proceeds of
C$25.0 million. Under the Offering,
the Company sold 8,750,000 units of the Company (the "Units") at a
price of C$4.00 per Unit. The Units
were sold through a syndicate of underwriters led by Red Cloud
Securities and included Cormark Securities Inc. (collectively, the
"Underwriters").
Each Unit is comprised of one common share in the capital of the
Company (each, a "Common Share") and one half of one Common Share
purchase warrant (each whole warrant, a "Warrant"). Each Warrant is
exercisable to acquire one Common Share at a price
of C$6.00 at any time on or before June 7, 2023.
The Company intends to use the net proceeds raised from the
Offering for the exploration and development of the Company's Dasa
uranium project in the Republic of Niger (the "Dasa Project") and for general
working capital and corporate purposes.
In connection with the Offering, the Underwriters received a
cash commission equal to 6% of the gross proceeds of the Offering
and broker warrants (the "Broker Warrants") equal to 6% of the
aggregate number of Units sold under the Offering. Each
Broker Warrant is exercisable to acquire one Common Share at a
price of C$4.42 at any time on or
before June 7, 2023. All
securities issued under the Offering are subject to a statutory
hold period under Canadian securities legislation expiring on
April 8, 2022.
This news release does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities in
the United States. The securities
have not been and will not be registered under the United States
Securities Act of 1933, as amended (the "U.S. Securities Act"), or
any state securities laws and may not be offered or sold within
the United States or to or for the
account or benefit of a U.S. person (as defined in Regulation S
under the U.S. Securities Act) unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available.
About Global Atomic
Global Atomic Corporation
(www.globalatomiccorp.com) is a publicly listed company that
provides a unique combination of high-grade uranium mine
development and cash-flowing zinc concentrate production.
The Company's Uranium Division includes four deposits with the
flagship project being the large, high grade Dasa Project,
discovered in 2010 by Global Atomic geologists through grassroots
field exploration. With the issuance of the Dasa Mining Permit and
an Environmental Compliance Certificate by the Republic of
Niger, the Dasa Project is fully
permitted for commercial production.
Global Atomics' Base Metals Division holds a 49% interest in the
Befesa Silvermet Turkey, S.L. ("BST") Joint Venture, which operates
a modern zinc production plant, located in Iskenderun, Turkey. The plant recovers zinc from Electric
Arc Furnace Dust ("EAFD") to produce a high-grade zinc oxide
concentrate which is sold to zinc smelters around the world. The
Company's joint venture partner, Befesa Zinc S.A.U. ("Befesa")
listed on the Frankfurt exchange
under 'BFSA', holds a 51% interest in and is the operator of the
BST Joint Venture. Befesa is a market leader in EAFD recycling,
with approximately 50% of the European EAFD market and facilities
located throughout Europe,
Asia and the United States of America.
The information in this release may contain forward-looking
information under applicable securities laws. Forward-looking
information includes, but is not limited to, statements with
respect to completion of any financings; the intended use of
proceeds from the Offering; Global Atomics' development potential
and timetable of its operations, development and exploration
assets; Global Atomics' ability to raise additional funds
necessary; the future price of uranium; the estimation of mineral
reserves and resources; conclusions of economic evaluation; the
realization of mineral reserve estimates; the timing and amount of
estimated future production, development and exploration; cost of
future activities; capital and operating expenditures; success of
exploration activities; mining or processing issues; currency
exchange rates; government regulation of mining operations; and
environmental and permitting risks. Generally, forward-looking
statements can be identified by the use of forward-looking
terminology such as "plans", "is expected", "estimates", variations
of such words and phrases or statements that certain actions,
events or results "could", "would", "might", "will be taken", "will
begin", "will include", "are expected", "occur" or "be achieved".
All information contained in this news release, other than
statements of current or historical fact, is forward-looking
information. Statements of forward-looking information are subject
to known and unknown risks, uncertainties and other factors that
may cause the actual results, level of activity, performance or
achievements of Global Atomic to be materially different from those
expressed or implied by such forward-looking statements, including
but not limited to those risks described in the annual information
form of Global Atomic and in its public documents filed on SEDAR
from time to time.
Forward-looking statements are based on the opinions and
estimates of management at the date such statements are made.
Although management of Global Atomic has attempted to identify
important factors that could cause actual results to be materially
different from those forward-looking statements, there may be other
factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance upon forward-looking
statements. Global Atomic does not undertake to update any
forward-looking statements, except in accordance with applicable
securities law. Readers should also review the risks and
uncertainties sections of Global Atomics' annual and interim
MD&As.
The Toronto Stock Exchange has not reviewed and does not accept
responsibility for the adequacy and accuracy of this news
release.
SOURCE Global Atomic Corporation