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Kapuskasing Gold Corp (TSX-V: KAP) is a Toronto Venture Exchange listed resource company engaged in the exploration of gold in the Borden Lake area in Northern Ontario

Message: Nemaska Lithium in $50 Mln Bought Deal Offering of Common Shares; Provides Project Update


2017-06-12 04:18:00 PM ET (MT Newswires)

04:18 PM EDT06/12/2017 (MT Newswires) -- Nemaska Lithium (NMX.TO) has entered into an agreement with a syndicate of underwriters who have agreed to purchase on a bought deal basis 47.62 million common shares of Nemaska at a price of $1.05 per share for gross proceeds of $50 million. The corporation has also granted the underwriters an over-allotment option to purchase an additional 15% of the shares purchased in the offering.

Nemaska intends to use the net proceeds for ongoing development of the Whabouchi lithium mine, the Whabouchi spodumene concentrator and the Shawinigan hydrometallurgical plant (collectively, the Lithium Project).

Nemaska also reports that it has been actively engaged in discussions with prospective lenders regarding terms and conditions of project debt financing to fund the Lithium Project and has recently begun the due diligence phase of the process with certain parties. The corporation is confident it can reach an agreement with the lenders by the end of Q3 2017.

Nemaska Lithium intends to become a lithium hydroxide and lithium carbonate supplier to the emerging lithium battery market that is largely driven by electric vehicles, cell phones, tablets and other consumer products.

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