Li-FT Announces Closing of $7 Million Brokered Flow-Through Financing
Li-FT Announces Closing of $7 Million
Brokered Flow-Through Financing
Vancouver, British Columbia--(Newsfile Corp. - November 3, 2022) - Li-FT Power Ltd. (CSE:
LIFT
)
(FSE:
WS0
) ("
Li-FT
" or the "
Company
") is pleased to announce that it has closed its previously
announced brokered private placement of 428,400 common shares of the Company issued on a "flow-
through" basis (each a "
FT Share
") at a price of $16.34 per FT Share for aggregate gross proceeds of
$7,000,056 (the "
Offering
"). The FT Shares will qualify as "flow-through shares" (within the meaning of
subsection 66(15) of the
Income Tax Act
(Canada) and section 359.1 of the
Taxation Act
(Québec)).
The Offering was led by Canaccord Genuity Corp. on behalf of a syndicate of agents (collectively, the
"
Agents
").
The gross proceeds of the Offering will be used by the Company to incur eligible "Canadian exploration
expenses" (as defined in the
Income Tax Act
(Canada))
that qualify as "flow-through critical mineral
mining expenditures" (as proposed to be defined in the
Income Tax Act
(Canada)) (the
"Qualifying
Expenditures"
) related to the projects of the Company in Québec, primarily being the Company's
Rupert project. The Company will renounce the Qualifying Expenditures to the subscribers of the FT
Shares with an effective date no later than December 31, 2022, and in the aggregate amount of not less
than the total amount of the gross proceeds raised from the issuance of the FT Shares.
The FT Shares issued in the Offering are subject to resale restrictions under applicable Canadian
securities legislation until March 4, 2023. The FT Shares have not been and will not be registered under
the United States Securities Act of 1933, as amended ("
U.S. Securities Act
") or any state securities
law and may not be offered or sold in the United States unless registered under the U.S. Securities Act
and applicable state securities laws or an exemption from such registration is available.
The Company also announces it has entered into a loan agreement with an arm's length third party for a
$300,000 unsecured principal amount loan to fund its short-term non-flow through expenditures. The loan
will bear interest at a rate of 3% per annum and has a maturity date of April 30, 2023.
About Li-FT
Li-FT is a mineral exploration company engaged in the acquisition, exploration, and development of
mineral properties, specifically lithium pegmatite projects located in Canada. The Company currently
holds a 100% interest on the Rupert Project, which is a 155,000 hectare greenfield lithium pegmatite
exploration initiative, and has recently signed an option agreement for a 15,323 hectare project with 70%
interest on the Pontax Property. On September 21, 2022, the Company additionally entered into an
option agreement for a 18,535 hectare property with a 100% interest on the Lac des Montages Project.
All properties are located in the James Bay region in Quebec, Canada.
For further information, please contact:
Julie Hajduk
Chief Executive Officer
Tel: (604) 609-6185
Email:
Website:
www.li-ft.com
Cautionary Statement Regarding Forward-Looking Information
Certain statements included in this press release constitute forward-looking information or statements
(collectively, "forward-looking statements"), including those identified by the expressions "anticipate",
"believe", "plan", "estimate", "expect", "intend", "may", "should" and similar expressions to the extent
they relate to the Company or its management. These statements relate to, among other things, the
use of proceeds of the Offering, the tax treatment of the FT Shares as well as the renunciation (and
timing thereof) of the Qualifying Expenditures. The forward-looking statements are not historical facts
but reflect current expectations regarding future results or events. This press release contains forward
looking statements. These forward-looking statements are based on current expectations and various
estimates, factors and assumptions and involve known and unknown risks, uncertainties and other
factors.
Forward-looking statements are not a guarantee of future performance and involve risks, uncertainties
and assumptions which are difficult to predict. Factors that could cause the actual results to differ
materially from those in forward-looking statements include the continued availability of capital and
financing, and general economic, market or business conditions, including the effects of COVID-19.
Forward-looking statements contained in this press release are expressly qualified by this cautionary
statement. These statements should not be read as guarantees of future performance or results. Such
statements involve known and unknown risks, uncertainties and other factors that may cause actual
results, performance or achievements to be materially different from those implied by such
statements. Although such statements are based on management's reasonable assumptions, there
can be no assurance that the statements will prove to be accurate or that management's expectations
or estimates of future developments, circumstances or results will materialize. The Company
assumes no responsibility to update or revise forward-looking information to reflect new events or
circumstances unless required by law. Readers should not place undue reliance on the Company's
forward-looking statements.
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 of America.
THIS NEWS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/142953