- Cypress Development (CYP) announces a C$8.5 million bought deal offering
- PI Financial has agreed to purchase 6.8 million units for C$1.25 per unit
- Gross proceeds will be C$8.5 million
- The closing date for the offering is on or about March 3, 2021
- Cypress Development Corp. is a publicly-traded exploration company
- Cypress Development (CYP) is up 12.69 per cent, trading at C$1.51 per share
Gross proceeds from the offering will be C$8,500,000.
Under the terms of the agreement, PI Financial Corp. as the sole underwriter and bookrunner has agreed to purchase, on a bought deal basis, 6,800,000 units of Cyprus Development at a price of C$1.25 per unit.
Each unit shall consist of one common share of the company and one common share purchase warrant. Each warrant shall be exercisable for one common share of the company for a period of 36 months from the closing date at an exercise price of C$1.75.
In addition, the company has granted the underwriter an option (the “Over-Allotment Option”), exercisable in whole or in part, for a period of 30 days following the closing date, to purchase up to an additional 15% of the units sold pursuant to the offering.
The net proceeds from the offering will be used to fund ongoing work on the company’s Clayton Valley Lithium Project in Nevada and for general working capital purposes.
The offering is expected to close on or about March 3, 2021, and is subject to all applicable regulatory approvals including the approval of the TSX Venture Exchange.
Cypress Development Corp. is a publicly-traded exploration company focused on developing the Company’s 100%-owned Clayton Valley Lithium Project in Nevada.
Exploration and development by Cypress discovered a world-class resource of lithium-bearing claystone adjacent to the Albemarle Silver Peak mine, North America’s only lithium brine operation. The size of the resource makes the Clayton Valley Project a premier source that has the potential to impact the supply of lithium for the fast-growing global energy storage battery market.
Cypress Development (CYP) is up 12.69 per cent, trading at C$1.51 per share.
