Mr. Tim Gabruch reports
ISOENERGY ANNOUNCES UPSIZE OF MARKETED PRIVATE PLACEMENT TO UP TO $35 MILLION
As a result of strong investor demand, IsoEnergy Ltd. has amended its agreement with a syndicate of agents led by Canaccord Genuity Corp., TD Securities Inc. and Eight Capital, and including Haywood Securities Inc., Red Cloud Securities, Cormark Securities Inc., Paradigm Capital, PI Financial Corp., Raymond James Ltd. and SCP Resource Finance LP (collectively, the agents), to increase the size of the previously announced best efforts private placement of subscription receipts to raise gross proceeds of up to $35.1-million, consisting of up to 7.8 million subscription receipts of the company at a price of $4.50 per subscription receipt. This upsizing of the offering is being led by Sachem Cove, a key shareholder, investor and leader in the uranium sector, adding to the strong participation already received from cornerstone investors NexGen Energy Ltd., Mega Uranium Ltd. and Energy Fuels Inc.
The agents will have an option to further increase the size of the offering by up to $5,265,000 through the sale of 1.17 million additional subscription receipts at the offering price, which agents' option is exercisable, in whole or in part, at any time up to 48 hours prior to closing of the offering.
The net proceeds of the offering will be used to advance exploration and development of the company's uranium assets, as well as for working capital and general corporate purposes.
The offering is expected to close on or about Oct. 19, 2023, with the gross proceeds of the offering to be held in escrow pending the satisfaction of the escrow release conditions, including the satisfaction of the conditions to the closing of the company's planned business combination with Consolidated Uranium Inc., and certain other customary conditions.
The subscription receipts will be offered by way of private placement pursuant to applicable exemptions from prospectus requirements in each of the provinces of Canada, and in such other jurisdictions as may be mutually agreed between the company and the agents. The securities issued under the offering will be subject to a four-month hold period under applicable Canadian securities laws.
Qualified person statement
The scientific and technical information contained in this news release with respect to IsoEnergy was prepared by Dr. Darryl Clark, PGeo, IsoEnergy's vice-president of exploration, who is a qualified person (as defined in National Instrument 43-101 -- Standards of Disclosure for Mineral Projects). Dr. Clark has verified the data disclosed. For additional information regarding the company's Larocque East project, including its quality assurance/quality control procedures and other details of the mineral resource estimate contained herein, please see the technical report dated effective July 8, 2022, on the company's profile at SEDAR+.
IsoEnergy is a well-financed uranium exploration and development company with a portfolio of prospective projects in the infrastructure-rich eastern Athabasca basin in Saskatchewan, Canada. In 2018, the company discovered the high-grade Hurricane deposit on its 100-per-cent-owned Larocque East property in the eastern Athabasca basin. The Hurricane deposit has indicated mineral resources of 48.61 million pounds triuranium octoxide based on 63,800 tonnes grading 34.5 per cent U3O8 and inferred mineral resources of 2.66 million pounds U3O8 based on 54,300 tonnes grading 2.2 per cent U3O8 (July 8, 2022). The Hurricane deposit is 100 per cent owned by IsoEnergy and is unencumbered from any royalties. IsoEnergy is led by a board and management team with a record of success in uranium exploration, development and operations. The company was founded and is supported by the team at its major shareholder, NexGen Energy Ltd.
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