URANIUM PARTICIPATION CORPORATION ANNOUNCES $19,950,000 BOUGHT DEAL FINANCING
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR RELEASE, PUBLICATION, DISTRIBUTION OR DISSEMINATION DIRECTLY, OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES.
Toronto, September 25, 2017 – Uranium Participation Corporation (TSX:U) (the “Company”) has today entered into an agreement with a syndicate of underwriters co-led by Cormark Securities Inc. and Cantor Fitzgerald Canada Corporation as co-bookrunners, and including TD Securities Inc. and BMO Capital Markets (collectively the “Underwriters”) pursuant to which the Underwriters have agreed to purchase on a bought deal basis 5,700,000 common shares of the Company (the “Shares”) at a price of $3.50 per Share, representing total gross proceeds of $19,950,000 (the “Offering”). Closing is expected on or about October 4, 2017 and is subject to regulatory approval including that of the Toronto Stock Exchange.
The Underwriters also have an option to purchase up to an additional 855,000 Shares at the offering price (representing 15% of the Offering) on the Closing Date for market stabilization purposes and price to cover over-allotments for a period of 5 days after the date of Closing.
The net proceeds of the Offering will be used by the Company to fund future purchases of U3O8 and/or UF6 and for general corporate purposes.
The Shares to be issued under this offering will be offered in accordance with the terms of a prospectus supplement in all provinces in Canada except Quebec and in the United States on a private placement basis pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended, and such other jurisdictions as may be agreed upon by the Company and the Underwriters.
This press release is not an offer or a solicitation of an offer of securities for sale in the United States. The Shares have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration.
About Uranium Participation Corporation
Uranium Participation Corporation is a company that invests substantially all of its assets in uranium oxide in concentrates (“U3O8”) and uranium hexafluoride (“UF6”) (collectively “uranium”), with the primary investment objective of achieving appreciation in the value of its uranium holdings through increases in the uranium price. UPC provides investors with a unique opportunity to gain exposure to the price of uranium without the resource or project risk associated with investing in a traditional mining company. Additional information about Uranium Participation Corporation is available on SEDAR at www.sedar.com and on Uranium Participation Corporation’s website at www.uraniumparticipation.com.
President & Chief Executive Officer
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Chief Financial Officer
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