Each one in plain English, with the numbers worked through for a shareholder.
18 May 2017capital raising announcement▲ GoodMajor
Moved beyond non-brokered placements for the first time, entering an underwritten 'bought deal' for 3,077,000 units at C$0.65 (C$2.0 million gross, plus a 15% over-allotment option) -- a more institutional financing channel than its prior private placements and Lind draws.
What it means for a shareholder
3.1m new shares at C$0.650 to raise about C$2.0m. That's 1.5% dilution: every existing holder's slice gets 1.5% smaller. If you held C$1,000 of shares (1,538 at the issue price), your slice goes from 0.000784% to 0.000772% of the company. To keep it you'd need 24 more shares - about C$16 at the issue price.
Closed the second and final tranche of the private placement, C$2.45 million more (3,503,989 units at C$0.70) -- bringing the total raise to about C$5.15 million and pushing shares outstanding to 195.4 million.
What it means for a shareholder
3.5m new shares at C$0.700 to raise about C$2.5m. That's 1.8% dilution: every existing holder's slice gets 1.8% smaller. If you held C$1,000 of shares (1,429 at the issue price), your slice goes from 0.000767% to 0.000752% of the company. To keep it you'd need 27 more shares - about C$19 at the issue price.
Converted $1.025 million more of Lind Partners note principal into shares, and closed the first tranche of the upsized private placement for C$2.7 million (3,860,800 units at C$0.70) -- also disclosing that a new 'Convertible Security Increase' to the Lind facility converts at 85% of the 5-day VWAP, a steep discount.
NioCorp drew $175,000 from a credit line provided personally by its CEO, Mark Smith - a recurring source of stopgap funding at this stage of the company's life.
