Global Atomic Announces C$25 Million Bought Deal Public Offering
NEWS RELEASE
Global Atomic Announces C$25 Million Bought Deal Public Offering
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
Toronto, ON, March 1, 2023: Global Atomic Corporation (“Global Atomic” or the “Company”)
(TSX: GLO, FRANKFURT: G12) today announced that it has entered into an agreement with Red
Cloud Securities Inc. (the “Underwriter”), as sole underwriter and bookrunner, pursuant to which
the Underwriter has agreed to purchase for resale 8,333,334 units of the Company (the “Units”)
at a price of C$3.00 per Unit (the “Offering Price”) on a “bought deal” basis by way of a short-form
prospectus offering for gross proceeds of C$25,000,002 (the “Offering”). Each Unit will consist of
one common share of the Company (each, a "Common Share") and one half of one Common
Share purchase warrant (each whole warrant, a "Warrant"). Each Warrant will be exercisable for
one Common Share (each, a “Warrant Share”) at a price of C$4.00 per Warrant Share at any time
for a period of 18 months following the closing of the Offering.
The Company has granted the Underwriter an option, exercisable in whole or in part, at the sole
discretion of the Underwriter, at any time for a period of 30 days from and including the closing of
the Offering, to purchase from the Company for resale up to an additional 1,250,000 Units
representing up to 15% of the number of Units sold under the Offering, on the same terms and
conditions of the Offering to cover over-allotments, if any, and for market stabilization purposes
(the “Over-Allotment Option”). In the event the Over-Allotment Option is exercised in full, the
aggregate gross proceeds of the Offering to the Company will be approximately C$28.75 million.
The Units will be offered by way of a short form prospectus with the securities commissions in
each of the Provinces of Canada (except Québec), and in the United States on a private
placement basis.
The Company intends to use the net proceeds raised from the Offering to fund a portion of the
capital costs required to advance the Company’s Dasa Project in the Republic of Niger to
commercial production and for general working capital purposes. Please refer to the Company’s
press release dated January 9, 2023 that outlines its plans for the Dasa Project in 2023.
The Offering is scheduled to close on or around March 17, 2023, or such other date as the
Company and the Underwriter may agree. Closing of the Offering is subject to customary closing
conditions, including, but not limited to, the receipt of all necessary regulatory approvals, including
the approval of the securities regulatory authorities and the Toronto Stock Exchange.
This press 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 to or for the account or benefit of persons in the
“United States” or “U.S. persons” (as such terms are 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.
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About Global Atomic
Global Atomic Corporation ( www.globalatomiccorp.com) is a publicly listed company that
provides a unique combination of high-grade ur anium 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.
The Phase 1 Feasibility Study for Dasa was filed in December 2021 and estimates yellowcake
delivery to utilities to commence in 2025. Mine excavation began in Q1 2022.
Global Atomic’s 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) 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.
Key contacts:
Stephen G. Roman
Chairman, President and CEO
Tel: +1 (416) 368-3949
Email: [email protected]
Bob Tait
VP Investor Relations
Tel: +1 (416) 558-3858
Email: [email protected]
The information in this release may contain forward-look ing information under applicable securities laws. Forward-
looking information includes, but is not limited to: statements with respect to completion of any proposed financings;
Global Atomics’ development potential and timetable of its operations, developm ent and exploration assets; Global
Atomics’ ability to raise additional funds on satisfactory terms to the Company; the future price of uranium; the
estimation of mineral reserves and resources; the co mpletion and timing of the MRE; conclusions of economic
evaluation; the realization of mineral re serve estimates; the timing and amount of estimated future production,
development and exploration; impacts of third-parties and Government policies on the Company’s operations; cost of
future activities; capital and operating expenditures; succ ess of exploration activities; mining or processing issues;
currency exchange rates; government regulation of mini ng 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 phras es or statements that certa in actions, events or results
“could”, “would”, “might”, “will be taken”, “will begin”, “will include”, “are expected”, “occur” or “be achieved”. All
information contain ed in this news release, other than statements of current or his torical fact, is forward-looking
information. Statements of forwar d-looking information are subject to k nown 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 expres sed or implied by such forward-looking statements, including but not limited to
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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 Atom ic has attempted to identify import ant factors that could cause actual
results to be materially different from those forward-looki ng statements, there may be othe r 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 diffe r materially from those anticipated in such statements.
Accordingly, readers should not place undue reliance up on forward-looking statements. Global Atomic does not
undertake to update any forward-looki ng statements, except in accordance wit h 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.