2023-04-11 17:12:24 ET
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Nouveau Monde Graphite ( NYSE: NMG ) on Tuesday announced a bought-deal offering of 4.85 million shares of the company at US$4.55 apiece.
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Gross proceeds from the offering is expected to be about US$22 million.
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Shares -8.3% at $4.63 after hours.
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The company entered the agreement with a syndicate of underwriters led by BMO Capital Markets and Cormark Securities.
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The company has granted the underwriters an option to purchase up to an additional 15% of the common shares to cover any over-allotments.
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The company may also complete a non-brokered private placement of a maximum of 2,938,753 common shares after closing the bought-deal offering.
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Shareholders participating in the private placement will have the option to purchase a maximum of 440,814 additional common shares.
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There can be no assurance that the private placement will close as contemplated or at all, the company said.
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The net proceeds of the bought-deal offering and private placement will be used to bring the development of the Matawinie Mine Project and the Bécancour Battery Material Plant Project to a final investment decision and project financing.
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Proceeds will also be used for the development of the Uatnan Mining Project and for general working capital and corporate expense needs.
For further details see:
Nouveau Monde Graphite launches stock offering to raise $22M