First Phosphate Corp. (CSE:PHOS, OTCQX:FRSPF) announced that it has entered into an agreement with Integrity Capital Group Inc, which will act as lead agent and bookrunner in connection with a "best efforts" private placement, for the sale of up to 25 million company units, at a price of C$0.60 per unit, for total gross proceeds of up to C$15 million.
The mineral development company said it intends to use the net proceeds of the offering to complete the feasibility study and permitting for its flagship Bégin-Lamarche Property, for downstream infrastructure development and acquisitions, and for general corporate purposes.
Each unit will consist of one company common share plus one common share purchase warrant, with each warrant entitling the holder to acquire one First Phosphate common share at a price per warrant share of C$0.90 for a period of 36 months from the closing date.
The offering is scheduled to close on October 10, 2025, or such other date or dates as the company and Integrity may determine.
The company said it has agreed to pay Integrity a total cash commission equal to 8% of gross proceeds of the offering and to issue that number of non-transferable broker warrants to Integrity equal to 8.0% of the number of units sold under the offering.
Each broker warrant is exercisable to acquire one company common share at a price of $0.90 per share for a period of 36 months following the closing date.