International Battery Metals Ltd. (the “Company”) (CSE: IBAT) (OTC: IBATF) (FSE: 8RE) announce that it has entered into a follow up private placement financing of 6,396,999 units (each a “Unit”) for gross proceeds of CAD$6,693,500 (USD$5,000,000) (the “Private Placement”).
Each Unit consists of one common share of the Company valued at CAD$1.04635 and one common share purchase warrant, with each warrant entitling the holder thereof to purchase one additional common share for a period of two (2) years from the date of issuance at an exercise price of CAD$1.21 per share. This follow up private placement is being made by the group who invested CAD$10,000,000 in February, 2022.
The proceeds raised from the Private Placement will be used for working capital needs, to accelerate research and development efforts, product development and technology adoption, and for preplacement orders of new direct lithium extraction processing plants for siting on customer brine resources.
In accordance with the Private Placement, the investors acknowledge that the Company will pay a fee to Piper Sandler & Co (“Piper“) in an amount and on terms to be established by the Company, the investors, and Piper.
The Company has agreed to amend 3,333,333 warrants issued under the February 24, 2022 private placement (the “Warrant Amendment“). Pursuant to the Warrant Amendment, the exercise price of the 3,333,333 warrants will be amended from CAD$3.83 to CAD$1.21.
In accordance with this Private Placement and the Warrant Amendment, the Company is also filing with the Canadian Securities Exchange a Form 9 – Notice of Proposed Issuance of Listed Securities, as well as a Form 13 Notice of Amendment of Warrant Terms.
About the Company
The Company’s direct lithium extraction technology is based on proprietary lithium extraction housed in patented extraction towers that are enclosed in a modular, shippable platform able to be loaded and brought into production within 10 days of arrival on a customer site. Utilizing the patented technology, the Company’s focus has been on advanced extraction of lithium chloride from ground water salt brine deposits and returning the same water to the subsurface aquifer from which it is extracted.
The Company’ unique patented technology ensures faster delivery of lithium chloride while ensuring minimal environmental impact.
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INTERNATIONAL BATTERY METALS LTD ANNOUNCES US$5,000,000 PRIVATE PLACEMENT & AMENDMENT TO WARRANTS, VANCOUVER, BC AND HOUSTON, Texas, April 24, 2023
