Global Atomic Announces Filing of its Final Prospectus in respect of its $100 Million Underwritten Offering
NEWS RELEASE
Global Atomic Announces Filing of its Final Prospectus in respect of its
$100 Million Underwritten Offering
NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE
UNITED STATES
Toronto, ON, February 9, 2023: Global Atomic Corporation (“Global Atomic” or the “Company”) (TSX:
GLO, FRANKFURT: G12) is pleased to announce that it has filed a final short form prospectus with the securities
regulatory authorities in each of the provinces of Canada (other than Québec) in relation to its previously
announced overnight marketed public offering (the “Offering”) of units of the Company (the “Units”).
Pursuant to the underwriting agreement between the Company and Red Cloud Securities Inc., as lead
underwriter and sole bookrunner, and Cormark Securities Inc. (together, the “ Underwriters”), t he
Underwriters have agreed to purchase 28,571,430 Units at a price of C$3.50 per Unit for aggregate
gross proceeds of C$100,000,005.
Each Unit will consist of one common share of the Company (each, a “ Common Share”) and one half
of one C ommon Share purchase warrant (each w hole warrant, a “Warrant”). Each Warrant will be
exercisable for one Common Share (each, a “ Warrant Share”) at a price of C$ 4.40 per Warrant Share
(the “Offering Price”) at any time for a period of 36 months following the closing of the Offering.
The Company has granted the Underwriters an option, exercisable in whole or in part, at the sole
discretion of the Underwriters, 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 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$115 million.
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.
As consideration for their services in connection with the Offering, the Underwriters will receive
consideration comprised of (i) a cash fee equal to 5% of the gross proceeds of the Offering, including
gross proceeds, if any, r eceived from the exercise of the Over -Allotment Option and (ii) Underwriters
broker warrants (the “ Broker Warrants ”) to purchase up to 3% of the number of Units sold in the
Offering, including any additional Units issued upon the Underwriter's exercise of the Over -Allotment
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Option. Each Underwriter's Warrant will entitle the holder thereof to purchase one Unit at an exercise
price equal to the Offering Price for 36 months from the Closing Date.
The Offering is expected to close on February 1 6, 2023 or such other date as the Company and the
Underwriters may agree (the “Closing Date”) . 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. There can be no
assurance as to whether or when the Offering will be completed.
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 suc h
registration is available.
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. 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]
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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 the completion of the Offering and the timing and over-allotment in respect
thereof, the aggregate gross proceeds of the Offering, the use of proceeds of the Offering, the consideration received by the
Underwriters, the timely receipt of all necessary approvals, including the approval of the Toronto Stock Exchange, and Global Atomic’s
development potential and timetable of its operations, development and exploration assets. Generally, forward-looking statements can
be identified by the use of forward- looking terminology such as “plans”, “is expected”, “estimates”, “scheduled” and 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 Global Atomic’s
ability to raise additio nal funds on satisfactory terms to the Company; the future price of uranium; the estimation of mineral reserves
and resources; the completion and timing of an updated mineral resource estimate; conclusions of economic evaluation; the realization
of mineral reserve 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; s uccess of
exploration activities; mining or processing issues; currency exchange rates; government regulation of mining operations; and
environmental and permitting risks those risks described in the annual information form of Global Atomic and in its public do cuments
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 statements 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.