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Global Atomic Corporation has announced an expansion of its public offering, now targeting a total of C$35 million. This decision, made in collaboration with Red Cloud Securities Inc., reflects significant investor demand.
The company initially set the offering at C$20 million, but overwhelming interest has prompted an increase to C$35 million. Under the new terms, Red Cloud will facilitate the resale of 56,452,000 units, each priced at C$0.62.
Table of Contents:
Details of the offering
Each unit in this offering will consist of one common share and a purchase warrant. The warrant allows investors to acquire an additional common share at a price of C$0.80 within three years following the closing date.
Over-allotment options
To enhance the offering’s flexibility, Global Atomic has granted an Over-Allotment Option to the underwriters. This option enables them to purchase additional units—up to 15% of the total sold—within 30 days post-closing. Such provisions are essential for managing potential over-allotments and ensuring market stability.
Utilization of proceeds
The funds raised from this offering will primarily support the advancement of the company’s Dasa Project and general working capital needs. This strategic allocation underscores Global Atomic’s commitment to efficiently developing its core projects.
A prospectus supplement will be filed in relation to this offering, accompanying the company’s existing base shelf prospectus. This document will be made available to the relevant regulatory authorities across Canada, excluding Quebec.
Marketplace considerations
While the offering is primarily aimed at Canadian investors, units may also be placed in the United States under specific exemptions from the U.S. Securities Act of 1933. This global approach reflects a comprehensive strategy to attract diverse investor interest.
Closing and regulatory approval
The anticipated closing date for this offering is set around October 23, contingent upon obtaining all necessary regulatory approvals, including that from the Toronto Stock Exchange. The company is diligently working to meet these regulatory requirements to ensure a smooth closing process.
This announcement does not constitute an offer to sell or a solicitation to buy securities in the United States. The relevant securities have not been registered under the U.S. Securities Act and cannot be sold without registration or an applicable exemption.
Global Atomic overview
Global Atomic Corporation is notable in the mining sector for its unique blend of uranium mine development and zinc concentrate production. The company is currently focused on the Dasa Deposit, a high-grade uranium resource located in Niger, which has been fully permitted and is progressing toward production.
The company initially set the offering at C$20 million, but overwhelming interest has prompted an increase to C$35 million. Under the new terms, Red Cloud will facilitate the resale of 56,452,000 units, each priced at C$0.62.0
The company initially set the offering at C$20 million, but overwhelming interest has prompted an increase to C$35 million. Under the new terms, Red Cloud will facilitate the resale of 56,452,000 units, each priced at C$0.62.1
The company initially set the offering at C$20 million, but overwhelming interest has prompted an increase to C$35 million. Under the new terms, Red Cloud will facilitate the resale of 56,452,000 units, each priced at C$0.62.2
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