TORONTO (miningweekly.com) – Project developer Canada Lithium on Monday said it had closed a $15-million public offering.
The company said it a total of 20.55-million units were issued at a price of 73c apiece, comprising one common share of the company and half of a common share purchase warrant exercisable for a period of two years following the closing of the offering at a strike price of 85c.
Canada Lithium said it intended to use the net proceeds of the offering to fund the initial stages of several capital projects, to conduct preliminary bench-scale pilot plant work and preliminary engineering in the context of a feasibility study for its lithium metal pilot plant and for working capital purposes during the commissioning stages of the Québec lithium project.
Casimir Capital led the offering, with a syndicate that included Mackie Research Capital, Dundee Securities, Scotia Capital and Fraser Mackenzie.
The company closed the equity financing despite a tough market for juniors, which had seen several juniors withdraw and unsuccessfully close proposed financings.
The company’s shares changed hands for 67 Canadian cents apiece on Monday on the Toronto bourse.