Neo Lithium closes $25M bought deal led by Sprott Capital Partners

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By Ted Liu

Neo Lithium Corp. (TSX-V: NLC) has closed previously announced bought deal private placement financing of 22,731,819 units at $1.10 per unit for gross proceeds of $25 million.

Each unit is comprised one common share and one-half of one share purchase warrant. Each whole warrant is exercisable for one share at $1.40 per share for a period of 18 months subject to accelerated expiry.

The offering was conducted through a syndicate of underwriters led by Sprott Capital Partners, a division of Sprott Private Wealth, and which included Canaccord Genuity Corp., PowerOne Capital Markets Ltd., GMP Securities L.P., Clarus Securities Inc., and Cormark Securities Inc.

Proceeds will be used for advancement of its Tres Quebradas lithium project in Catamarca, Argentina, and for working capital.

“We are extremely pleased with the successful completion of the financing, which further strengthens our balance sheet and significantly improves our ability to execute the development at the 3Q project,” said Dr. Waldo Perez, President & CEO of Neo Lithium. “I would like to thank all of our shareholders for their continued support and particularly welcome a number of new strategic resource investment funds out of Europe and North America to Neo Lithium.”

photo credit: Neo Lithium