is happy to announce that, on a bought deal basis, it has entered into an agreement with a syndicate of underwriters, led by BMO Capital Markets as the sole bookrunner, under which the underwriters have agreed to purchase 10,205,000 common shares (the “Common Shares”) at a price of U.S. $2.94 (the current approximate equivalent of C$4.00 per Common Share), for gross proceeds of approximately C$30 million (the “Offering”). The Underwriters may purchase up to 15% more of the Offering to offset any over-allotments, if any, at the offering price for a period of 30 days after the Offering closes, according to a right granted by the Company to the Underwriters.
The Offering is anticipated to close on October 17, 2023, at the latest, if the Company obtains all required regulatory approvals.
The net proceeds of the Offering are presently intended to be used by the Company mainly for general working capital purposes, future purchases of physical uranium, and the implementation of its growth strategy through future acquisitions of streams, royalties, physical uranium, and similar assets.
In accordance with the Company’s base shelf prospectus dated July 20, 2023, the Common Shares will be offered through a prospectus supplement in all Canadian provinces and territories (excluding Quebec). In the United States, the Common Shares will be offered through an effective registration statement filed under the Canada/U.S. multi-jurisdictional disclosure system (File No. 333-272534). These documents include crucial details regarding the Offering.
This press release doesn’t represent an offer to purchase or sell, nor does it solicit offers to buy securities, and it won’t be sold in any jurisdiction where doing so would be against the law.
The only pure-play uranium listed business on the NASDAQ, Uranium Royalty Corp. (URC) is the only uranium-focused royalty and streaming firm in the world. By trading actual uranium and making strategic purchases of uranium interests, such as royalties, streams, loans, and equity in uranium firms, URC gives investors exposure to the price of uranium commodities.
This press release contains some statements that could be deemed “forward-looking information.” These include statements about the terms of the offering and the anticipated completion and use of the proceeds, which are ultimately up to the company’s judgement. Statements that address or describe actions, occurrences, or developments that the company expects or anticipates may take place in the future are considered forward-looking information. Words like “estimates”, “expects”, “plans”, “anticipates”, “will”, “believes”, “intends”, “should”, “could”, “may” and other comparable terms are used to identify such forward-looking information when they are used in this news release.
The management of the company’s current expectations and opinions are reflected in the statements that make up forward-looking information. Because of the substantial risks, uncertainties, and other variables involved in these statements, the actual performance, results, or accomplishments of the company and its industry may differ considerably from those suggested by these forward-looking statements.
They shouldn’t be interpreted as an assurance of performance or outcomes in the future, and they won’t always be a reliable indicator of whether or not such outcomes will be attained. Actual results could differ materially from such forward-looking information for a variety of reasons, including but not limited to the risks associated with royalty companies, any inability to meet the offering’s conditions, such as obtaining the necessary regulatory approvals, market conditions, share price, volatility in uranium prices, and risks associated with the project operators that underpin the Company’s current and potential interests, as well as additional risks detailed in filings with the U.S. Securities and Exchange Commission and Canadian securities regulators. Actual outcomes and occurrences could differ greatly as a result of these and other risks. As a result, readers should use caution when relying on forward-looking information, and the company does not promise to publicly update them to reflect events or circumstances that have since occurred, unless legally required.