NextSource Materials Inc. (TSX:NEXT, OTCQB:NSRCF) announced that it has completed a brokered private placement under a listed issuer financing exemption (LIFE) for gross proceeds of approximately C$25 million.
The company issued approximately 58.8 million units at C$0.425 per unit.
Each unit consists of one common share and one-half of a common share purchase warrant. Each warrant allows the holder to purchase one common share at C$0.55 per share, beginning 61 days after closing and expiring 36 months thereafter.
The offering was oversubscribed, with Vision Blue Resources purchasing about 28 million units to maintain its pro rata ownership in the company.
The net proceeds are expected to be used to advance NextSource’s UAE Battery Anode Facility, update the technical report for the Molo project, and for general corporate purposes, according to the company.
Stifel Canada acted as lead agent and sole bookrunner for the offering, with Maxim Group LLC serving as co-agent.
In early trading, the shares were up 3% at 31 cents.