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TORONTO, ON / ACCESSWIRE / December 2, 2021 / EV Nickel Inc. ("EV Nickel" or the "Company") is pleased to announce today that it has closed its initial public offering (the "IPO") of 5,600,000 units of the Company (the "Offered Units") at a price of $0.75 per Offered Unit and 1,442,200 common shares of the Company (the "Common Shares") which each qualify as a "flow-through share" as defined in subsection 66(15) of the Income Tax Act (the "FT Shares", together with the Offered Units, the "Offered Securities"), at a purchase price of $0.86 per FT Share, for total gross proceeds of $5,440,292, pursuant to a long-form prospectus (the "Prospectus") dated November 19, 2021.
Each Offered Unit consists of one Common Share (an "Offered Share") and one Common Share purchase warrant of the Company (an "Offered Warrant"). Each Offered Warrant entitles the holder to purchase one Common Share ("Warrant Share") at an exercise price of $1.05 per Warrant Share until December 2, 2023. The Offered Warrants are issued pursuant to a warrant indenture dated December 2, 2021 between the Company and Odyssey Trust Company, as warrant agent thereunder, a copy of which is available under the Company's profile on SEDAR at www.sedar.com.
The IPO was completed through a syndicate of agents led by Echelon Wealth Partners Inc. ("Echelon"), as lead agent and sole bookrunner, and included Stifel Nicolaus Canada Inc., Cormark Securities Inc. and Canaccord Genuity Corp. (collectively, the "Agents"). In consideration for their services, the Agents received a cash commission equal to $364,284.95 as well as 468,728 broker warrants (the "Broker Warrants"). Each Broker Warrant will be exercisable for one Offered Unit (subject to any necessary adjustments) (a "Broker Unit") at an exercise price of $0.75 per Broker Warrant for a period of 24 months. Each Broker Unit will be comprised of one Offered Share (a "Broker Unit Share") and one Offered Warrant (a "Broker Unit Warrant"). Each Broker Unit Warrant entitles the holder to purchase one Common Share (a "Broker Warrant Share") at an exercise price of $1.05 per Broker Warrant Share until December 2, 2023. The Company also paid Echelon a corporate finance fee of $94,700.78 (inclusive of taxes).
The Agents have also been granted an over-allotment option (the "Over-Allotment Option"), exercisable in whole or in part, at the sole discretion of the Agents, for a period of 30 days from and including December 2, 2021, to purchase up to an additional 15% of the Offered Securities sold pursuant to the IPO.
The Company's Common Shares (including the Offered Shares, FT Shares, Warrant Shares, Broker Unit Shares and Broker Warrant Shares) are expected to commence trading on the TSX Venture Exchange under the symbol "EVNI" on December 3, 2021.
The Company will use the net proceeds from the offering in furtherance of the development of its Langmuir Project business objectives as outlined in the Prospectus. A copy of the Prospectus is available under the Company's profile on SEDAR at www.sedar.com.
No securities regulatory authority has either approved or disapproved the contents of this press release. The securities under the Offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or the securities laws of any state of the United States and may not be offered, sold or delivered, directly or indirectly, in the United States, except pursuant to an exemption from the registration requirements of the U.S. Securities Act and applicable state securities laws. This news release does not constitute an offer to sell or solicitation of an offer to buy any of these securities in any jurisdiction in which the offering or sale is not permitted.
About EV Nickel
EV Nickel is a Canadian nickel exploration company, focussed on the Shaw Dome area, south of Timmins, Ontario. The Shaw Dome area is home to its Langmuir project which includes W4, the basis of a 2010 historical estimate of 677K tonnes @ 1% Ni, ~15M lbs of Class 1 Nickel. EV Nickel's objective is to grow and advance a nickel business, targeting the growing demand for Class 1 Nickel, from the electric vehicle battery sector. EV Nickel has almost 9,100 hectares to explore across the Shaw Dome and has identified 30km of additional strike length.
Cautionary Note Regarding Forward-Looking Information
This press release contains forward-looking information, including the listing of Common Shares (including the Offered Shares, FT Shares, Warrant Shares, Broker Unit Shares and Broker Warrant Shares) on the TSX Venture Exchange. Such forward-looking statements or information are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes. Any such forward-looking information may be identified by words such as "proposed", "expects", "intends", "may", "will", and similar expressions. Forward-looking statements or information are based on a number of factors and assumptions which have been used to develop such statements and information, but which may prove to be incorrect. Although EV Nickel believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. Factors that could cause actual results to differ materially from those described in such forward-looking information include, but are not limited to, changes in business plans and strategies, market conditions, share price, best use of available cash, the ability of the Company to raise sufficient capital to fund its obligations under various contractual arrangements, to maintain its mineral tenures and concessions in good standing, and to explore and develop its projects and for general working capital purposes, changes in economic conditions or financial markets, the inherent hazards associated with mineral exploration, future prices of metals and other commodities, environmental challenges and risks, the Company's ability to obtain the necessary permits and consents required to explore, drill and develop its projects and if obtained, to obtain such permits and consents in a timely fashion relative to the Company's plans and business objectives, changes in environmental and other laws or regulations that could have an impact on the Company's operations, compliance with such laws and regulations, the Company's ability to obtain required shareholder or regulatory approvals, dependence on key management personnel, natural disasters and global pandemics, including COVID-19 and general competition in the mining industry. These risks, as well as others, could cause actual results and events to vary significantly. The forward-looking information in this press release reflects the current expectations, assumptions and/or beliefs of EV Nickel based on information currently available to the Company. Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or expressly qualified by this cautionary statement.
For further information, contact: Sean Samson, Chief Executive Officer at firstname.lastname@example.org.
EV Nickel Inc.
200 - 150 King St. W,
Toronto, ON M5H 1J9
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.
SOURCE: EV Nickel Inc.
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