Source: Alexandra Armstrong and Canada Nickel Company.
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Canada Nickel Company (CNC) has closed its investment from Anglo American and a bought deal offering for a total of $44 million
  • Anglo American subscribed for roughly 12.5 million CNC common shares for $1.95 per common share, and 952,623 common shares at $1.77 per common share
  • CNC also closed its bought deal offering $18.2 million for a combination of its regular common shares and flow-through shares
  • The collective proceeds will fund eligible exploration expenses, advancing CNC’s Ontario projects, and general working capital
  • Canada Nickel Company (CNC) is down 1.17 per cent, trading at $1.69 per share as of 2:14 p.m. EST

Canada Nickel Company (CNC) has closed its investment from Anglo American and a bought deal offering for a total of $44 million.

Under the investment, Anglo American subscribed for roughly 12.5 million CNC common shares for $1.95 per common share and 952,623 common shares at $1.77 per common share. Anglo American now holds 9.90 per cent of CNC’s issued and outstanding common shares.

Alongside this, CNC also closed its bought deal offering for $18.2 million. As a result, the company sold 7.46 million of its common shares for $1.77 each and 1.74 million flow-through common shares for $2.86 apiece.

The bought deal offering was completed under an underwriting agreement signed last month. The participating underwriters received a cash commission equal to 6.00 per cent of the offering’s proceeds. However, no commission was paid to the underwriters involved in the Anglo American investment.

Proceeds to support flagship asset

According to the company, proceeds raised from the bought deal offering will cover eligible exploration expenses.

Also, the financing raised from the Anglo American investment will mainly be used for the exploration and advancement of the Crawford nickel-cobalt sulphide project, its other Ontario properties, repayment of the Auramet loan facility, and for general working capital purposes.

Canada Nickel is advancing its nickel-cobalt sulphide projects to support the electric vehicle and stainless-steel markets. It has already successfully registered and applied for trademarks in various jurisdictions. The company is developing processes for net zero carbon nickel, cobalt, and iron product manufacturing.

Canada Nickel Company (CNC) is down 1.17 per cent, trading at $1.69 per share as of 2:14 p.m. EST.


More From The Market Herald

" @ the Bell: Markets come roaring back

After a few lacklustre sessions, Canada’s main stock index joined markets across the globe in a higher trading day on Friday.
Filo Mining

" Filo Mining increases financing to $130M

Filo Mining (TSX:FIL) has increased its non-brokered private placement to raise gross proceeds of $130 million, due to strong demand.
Jericho Energy Ventures

" Jericho partners with Ramp Equity to bring hydrogen boiler to South Korea

Jericho (TSXV:JEV) has signed a memorandum of understanding with Ramp Equity to bring the zero-emission hydrogen boiler, to the South Korean market.

" The Gummy Project details recent successes and expansion plans

The Gummy Project has announced various updates on its corporate and operational activities.