Ion Energy Ltd. (CVE:ION) (OTCQB:IONGF) (FRA:5YB) said it has completed its public offering of 11,500,000 units of the company at a price of $0.50 each for aggregate gross proceeds of $5,750,000, which amounts included full exercise of the underwriters’ over-allotment option.
Each unit in the offering comprises one common share in the capital of the company and one common share purchase warrant. Each warrant is exercisable to acquire one common share for 36 months from the date hereof at an exercise price of $0.70 per Warrant Share.
The company said it intends to use the net proceeds of the offering to fund exploration at its Mongolian lithium brine projects and for general working capital purposes.
READ: ION Energy upsizes 'bought-deal' offering to raises C$5M from $3M to help fund exploration of its lithium brine projects
The offering was conducted by a syndicate of underwriters led by PI Financial Corp. and which included Stifel GMP. The listing of the common shares and warrant shares, which has been conditionally approved, remains subject to the final approval of the TSX Venture Exchange.
The securities have not been and will not be registered under the United States Securities Act of 1933, as amended or any state securities laws and may not be offered or sold within the United States or to US Persons unless registered under the US Securities Act and applicable state securities laws or an exemption from such registration is available.
ION Energy is committed to exploring and developing Mongolia’s lithium salars. The company’s flagship, 81,000+ hectare Baavhai Uul lithium brine project, represents the largest and first lithium brine exploration licence award in Mongolia.
ION also holds the 19,000+ hectare Urgakh Naran highly prospective Lithium Brine licence in Dornogovi Province in Mongolia. The company is well-poised to be a key player in the clean energy revolution and positioned well to service the world’s increased demand for lithium.
Contact the author at jon.hopkins@proactiveinvestors.com