Lithium Ionic Announces Closing of Over-Subscribed Premium to Market Private Placement With Strategic Shareholders
Lithium Ionic Announces Closing of Over-Subscribed Premium to Market Private
Placement With Strategic Shareholders
THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT
AUTHORIZED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES.
TORONTO, ON, June 7, 2024 – Lithium Ionic Corp. (TSXV: LTH; OTCQX: LTHCF; FSE: H3N )
(“Lithium Ionic” or the “Company”) announces the closing, on an oversubscribed basis, of its
previously announced non-brokered private placement offering (the “Offering”) led by long-term
strategic shareholders, Fourth Sail Capital and the PowerOne Capital Group.
Under the Offering, the Company issued 17,769,778 units (the “Units”) at $0.90 per Unit for gross
proceeds of $15,992,800.30.
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 will entitle the holder to purchase one Common Share at an exercise price of $1.05
per Common Share until the date that is 18 months from the date hereof.
The Company plans to use the aggregate net proceeds of the Offering for exploration and
development of its Brazilian properties and general corporate purposes.
In connection with the closing of the Offering, the Company paid finder’s fees of $588,721 in cash
and issued 613,884 non-transferable finder’s warrants (the “Finder’s Warrants”). Each Finder’s
Warrant will entitle the holder thereof to purchase one Unit at a price of $0.90 for a period of 12
months from the date hereof.
The Offering is subject to the receipt of all necessary approvals, including the final approval of the
TSX Venture Exchange. All of the securities issued by the Company pursuant to the Offering will
be subject to a four-month statutory hold period which expires on October 8, 2024.
An officer of the Company has subscribed for 111,111 Units in the Offering (the “ Insider
Investment”). The Insider Investment constitutes a related party transaction, as such term is
defined under the policies of the TSXV, and the Company has relied on certain exemptions from
the minority approval and formal valuation requirements under Multilateral Ins trument 61-101
– Protection of Minority Security Holders in Special Transactions (“MI 61-101”) as the fair market
value of the aggregate Insider Investment is below 25% of the Company’s market capitalization
for the purposes of Sections 5.5(a) and 5.7(1)(a) of MI 61-101.
The securities being offered have not, nor will they be registered under the United States
Securities Act of 1933, as amended, and may not be offered or sold within the United States or
to, or for the account or benefit of, U.S. persons absent U.S. registr ation or an applicable
exemption from the U.S. registration requirements. This release does not constitute an offer for
sale of securities in the United States.
On behalf of the Board of Directors of Lithium Ionic Corp.
Blake Hylands
Chief Executive Officer, Director
About Lithium Ionic Corp.
Lithium Ionic is a Canadian mining company exploring and developing its lithium properties in
Brazil. Its flagship Itinga and Salinas projects cover 14,182 hectares in the northeastern part of
Minas Gerais state, a mining-friendly jurisdiction that is quickly emerging as a world-class hard-
rock lithium district. The Itinga Project is situated in the same region as CBL’s Cachoeira lithium
mine, which has produced lithium for +30 years, as well as Sigma Lithium Corp.’s Grota do Cirilo
project, which hosts the largest hard-rock lithium deposit in the Americas.
Investor and Media Inquiries:
+1 647.316.2500
Cautionary Note Regarding Forward-Looking Statements
This press release contains statements that constitute “ forward-statements.” Such forward
looking statements involve known and unknown risks, uncertainties and other factors that may
cause the Company’s actual results, performance or achievements, or developments to differ
materially from the anticipated results, performance or ac hievements expressed or implied by
such forward-looking statements. Although the Company believes, in light of the experience of its
officers and directors, current conditions and expected future developments and other factors that
have been considered appropriate that the expectations reflected in this forward -looking
information are reasonable, undue reliance should not be placed on them because the Company
can give no assurance t hat they will prove to be correct. When used in this press release, the
words “estimate”, “project”, “belief”, “anticipate”, “intend”, “expect”, “plan”, “predict”, “may” or
“should” and the negative of these words or such variations thereon or comparable terminology
are intended to identify forward- looking statements and information. The forward -looking
statements and information in this press release include information relating to the prospectivity
and development of the Company’s mineral properties, the Offering, the use of proceeds of the
Offering and the Company’s future plans. Such statements and information reflect the current
view of the Company. Risks and uncertainties that m ay cause actual results to differ materially
from those contemplated in those forward -looking statements and information. By their nature,
forward-looking statements involve known and unknown risks, uncertainties and other factors
which may cause our actual results, performance or achievements, or other future events, to be
materially different from any future results, perfor mance or achievements expressed or implied
by such forward- looking statements. The forward- looking information contained in this news
release represents the expectations of the Company as of the date of this news release and,
accordingly, is subject to change after such date. Readers should not place undue importance on
forward-looking information and should not rely upon this information as of any other date. The
Company undertakes no obligation to update these forward-looking statements in the event that
management’s beliefs, estimates or opinions, or other factors, should change.
Information and links in this press release relating to other mineral resource companies are from
their sources believed to be reliable, but that have not been independently verified by the
Company.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the
policies of the TSXV) accepts responsibility for the adequacy or accuracy of this press
release.