Global Atomic Announces Closing of C$35.0 Million Bought Deal Private Placement
NEWS RELEASE
Global Atomic Announces Closing of
C$35.0 Million Bought Deal Private Placement
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES
Toronto, ON, December 7, 2021: 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 u ranium 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.
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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 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. T he 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 th e 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-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 fro m the Offering; Global Atomics’
development potential and timetable of its operations, development and exploration assets; Global Atomics’ ability to raise a dditional 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 exploratio n 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 st atements 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.