NexGen Energy Ltd. (TSX VENTURE:NXE) is pleased to announce that it has closed a brokered private placement of 10,547,999 common shares of the Company on a “flow-through” basis at a price of $0.30 per Flow-Through Share, for aggregate gross proceeds of $3,164,399.70.
Leigh Curyer, CEO commented, “We are very pleased with the support from both new and existing shareholders. This financing will fully fund our upcoming winter program at Rook I and leave a strong treasury at the end of the program. We are looking forward to commencing drilling next month to follow up on the encouraging results from summer 2013.”
In connection with the Offering, the Company paid a fee to Secutor Capital Management Corporation who acted as agent for the Offering, equal to (i) 6% of the gross proceeds of the Offering derived by Secutor; and (ii) 1% of the balance of the gross proceeds of the Offering. The Company also agreed to pay a fee equal to 5% of the gross proceeds of the Offering in respect of the Non-Secutor Subscriptions, which will be allocated between Laurentian Bank of Canada, M Partners Inc. and Accilent Capital Inc.
An insider of the Corporation, directly or indirectly, purchased a total of 1,000,000 Flow-Through Shares under the Offering constituting a “related party transaction” as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”). The Insider Participation is exempt from the valuation and minority shareholder approval requirements of MI 61-101 by virtue of the exemptions contained in Sections 5.5(a) and 5.7(1)(a) of MI 61-101 based on the fact that neither the fair market value of such Insider Participation, nor the consideration paid by the insider, exceeds 25% of the Company’s market capitalization. NexGen has not filed a material change report 21 days prior to the closing of the Offering as participation of the insider had not been established at that time.
The gross proceeds will be used for exploration of the Company’s projects in the Athabasca Basin of Saskatchewan.
The Flow-Through Shares issued pursuant to the Offering are subject to a hold period expiring on April 20, 2014. The Offering is subject to the final approval of the TSX Venture Exchange.
The Company is also pleased to announce the grant of an aggregate of 350,000 options to acquire up to that same number of common shares of the Company to officers of the Company, pursuant to the Company’s stock option plan. The options are for a five year term, expire on December 19, 2018, are exercisable at a price of $0.30 per share and vest in three equal annual instalments commencing on the award date.
NexGen is a British Columbia corporation with a focus on the acquisition, exploration and development of Canadian uranium projects. NexGen has a highly experienced team of exploration professionals with a track record in the discovery of unconformity-style uranium deposits in Canada.
NexGen owns a portfolio of highly prospective uranium exploration assets in the Athabasca Basin, Saskatchewan, Canada, including, a 100% interest in Rook 1, immediately adjacent to the north east of Patterson Lake South, and an option to earn a 70% interest in the Radio Project, immediately adjacent to Rio Tinto’s Roughrider Deposit.
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