Offering Was Set at a Premium to the Share Price When Launched
NOT FOR DISTRIBUTION TO U.S. NEWSWIRES OR FOR DISSEMINATION IN THE UNITED STATES
CENTENNIAL, Colo., May 11, 2021– NioCorp Developments Ltd. (“NioCorp” or the “Company”) (TSX:NB) (OTCQX:NIOBF) is pleased to announce that it has closed its previously announced non-brokered private placement (the “Private Placement”) of units (the “Units”) of the Company. A total up-sized offering of 4,334,157 Units were issued at a price per Unit of C$1.43, for total gross proceeds to the Company of approximately C$6.2 million.
The pricing of the Units was set at a premium to the five-day Volume Weighted Average Price (“VWAP”) of NioCorp common shares just prior to the launch of the offering.
Each Unit consists of one common share of NioCorp (a “Common Share”) and one common share purchase warrant (a “Warrant”). Each Warrant will entitle the holder to acquire one Common Share at a price of C$1.63 until May 10, 2023.
Proceeds of the private placement will be used for continued advancement of the Company’s Elk Creek Superalloy Materials Project, including ongoing detailed engineering efforts, conducting technical assessments of potentially adding rare earth products to the planned product offering,