GoviEx Uranium Inc (TSX-V:GXU, OTCQX:GVXXF) said it has increased the size of its previously announced private placement from $12.1 million to almost $15 million.
Under the amended agreement with Eight Capital and Sprott Capital Partners, the firm will issue 85,714,200 units at a price of $0.175 each for aggregate gross proceeds of $14,999,985.
The company said it intends to use the net proceeds of the offering for exploration, engineering, and general corporate and working capital purposes.
Each unit in the offering will be composed of one common share of the company and one common share purchase warrant, with each warrant entitling the holder to purchase one additional common share at an exercise price equal to the United States dollar equivalent of 25 cents for a period of 24 months following the closing date of the offering.
The company has granted the underwriters an option, exercisable in whole or in part up to 48 hours prior to the closing of the offering, to purchase up to an additional 15% of the units at the issue price.
Closing of the offering is expected to occur on or about May 11, 2023, and is subject to certain conditions including conditional approval from the TSX Venture Exchange.
--Updates with new financing information--
Contact the author at jon.hopkins@proactiveinvestors.com