INTERNATIONAL BATTERY METALS LTD. ANNOUNCES NON-BROKERED PRIVATE PLACEMENT FINANCING
International Battery Metals (OTCQB:IBATF) has announced a significant non-brokered private placement with Encompass Capital Advisors LLC. The company will issue US$5 million in units at approximately US$0.19406 per unit, with each unit comprising one common share and one warrant. The offering includes 25,765,258 units with warrants exercisable at C$0.355 for three years.
Additionally, Encompass has been granted the right to purchase up to US$2 million in additional units by December 31, 2025. The company will also extend expiration dates for existing warrants held by Encompass and EV Metals from previous private placements. Proceeds will be used for preparing IBAT's modular direct lithium extraction plant and general corporate purposes.
International Battery Metals (OTCQB:IBATF) ha annunciato un'importante collocazione privata non mediata con Encompass Capital Advisors LLC. La società emetterà unità per un valore di 5 milioni di dollari USA a circa 0,19406 dollari USA per unità, ciascuna composta da un'azione ordinaria e un warrant. L'offerta comprende 25.765.258 unità con warrant esercitabili a 0,355 dollari canadesi per tre anni.
Inoltre, a Encompass è stato concesso il diritto di acquistare fino a 2 milioni di dollari USA in unità aggiuntive entro il 31 dicembre 2025. La società estenderà anche le scadenze dei warrant esistenti detenuti da Encompass e EV Metals derivanti da precedenti collocamenti privati. I proventi saranno utilizzati per la preparazione dell'impianto modulare di estrazione diretta del litio di IBAT e per scopi aziendali generali.
International Battery Metals (OTCQB:IBATF) ha anunciado una colocación privada significativa sin intermediarios con Encompass Capital Advisors LLC. La compañía emitirá unidades por un valor de 5 millones de dólares estadounidenses a aproximadamente 0,19406 dólares por unidad, cada unidad compuesta por una acción común y un warrant. La oferta incluye 25,765,258 unidades con warrants ejercitables a 0,355 dólares canadienses durante tres años.
Además, a Encompass se le ha otorgado el derecho a comprar hasta 2 millones de dólares estadounidenses en unidades adicionales antes del 31 de diciembre de 2025. La compañía también extenderá las fechas de vencimiento de los warrants existentes en poder de Encompass y EV Metals de colocaciones privadas anteriores. Los fondos se utilizarán para preparar la planta modular de extracción directa de litio de IBAT y para fines corporativos generales.
International Battery Metals (OTCQB:IBATF)는 Encompass Capital Advisors LLC와의 중요한 비중개 사모 발행을 발표했습니다. 회사는 약 단위당 0.19406 미국 달러에 500만 미국 달러 상당의 단위를 발행할 예정이며, 각 단위는 보통주 1주와 워런트 1개로 구성됩니다. 이번 공모에는 25,765,258 단위가 포함되며, 워런트 행사가격은 3년간 캐나다 달러 0.355입니다.
추가로, Encompass는 2025년 12월 31일까지 최대 200만 미국 달러 상당의 추가 단위를 구매할 권리를 부여받았습니다. 회사는 또한 이전 사모 발행에서 Encompass와 EV Metals가 보유한 기존 워런트의 만기일을 연장할 예정입니다. 자금은 IBAT의 모듈식 직접 리튬 추출 플랜트 준비와 일반 기업 목적에 사용될 것입니다.
International Battery Metals (OTCQB:IBATF) a annoncé un placement privé important sans intermédiaire avec Encompass Capital Advisors LLC. La société émettra 5 millions de dollars américains en unités à environ 0,19406 $ US par unité, chaque unité comprenant une action ordinaire et un bon de souscription. L’offre comprend 25 765 258 unités avec des bons exerçables à 0,355 $ CA pendant trois ans.
De plus, Encompass a obtenu le droit d’acheter jusqu’à 2 millions de dollars américains d’unités supplémentaires avant le 31 décembre 2025. La société prolongera également les dates d’expiration des bons existants détenus par Encompass et EV Metals issus de placements privés antérieurs. Les fonds seront utilisés pour préparer l’usine modulaire d’extraction directe de lithium d’IBAT et pour des besoins généraux de l’entreprise.
International Battery Metals (OTCQB:IBATF) hat eine bedeutende nicht vermittelte Privatplatzierung mit Encompass Capital Advisors LLC angekündigt. Das Unternehmen wird Einheiten im Wert von 5 Millionen US-Dollar zu etwa 0,19406 US-Dollar pro Einheit ausgeben, wobei jede Einheit aus einer Stammaktie und einem Optionsschein besteht. Das Angebot umfasst 25.765.258 Einheiten mit Optionsscheinen, die zu 0,355 kanadischen Dollar für drei Jahre ausgeübt werden können.
Zusätzlich wurde Encompass das Recht eingeräumt, bis zum 31. Dezember 2025 weitere Einheiten im Wert von bis zu 2 Millionen US-Dollar zu erwerben. Das Unternehmen wird auch die Ablaufdaten der bestehenden Optionsscheine, die Encompass und EV Metals aus früheren Privatplatzierungen halten, verlängern. Die Erlöse werden für die Vorbereitung von IBATs modularer direkter Lithiumextraktionsanlage und für allgemeine Unternehmenszwecke verwendet.
- Secured significant funding of US$5 million through private placement
- Additional potential investment of up to US$2 million from Encompass by December 2025
- Proceeds will advance the company's MDLE Plant development
- Strategic investment from institutional investor Encompass Capital shows confidence in company
- Significant dilution through issuance of 25,765,258 new units
- Warrants extension could lead to further future dilution
- Units issued at maximum permissible discount to market price
The issue price per Unit will be based on the maximum permissible discount to the market price of the Company's common shares (the "Common Shares") under the rules of the TSX Venture Exchange (the "TSXV") as of closing on the trading day immediately preceding the announcement of the closing of the Offering (the "Market Price"). Each Unit will consist of one Common Share and one Common Share purchase warrant (a "Warrant"). Each Warrant will entitle the holder to acquire one Common Share (each, a "Warrant Share") at an exercise price equal to the Market Price per Warrant Share, until the date which is three years from the date of issuance.
The Company expects to close the Offering (the "Closing") on or around August 8, 2025, subject to the approval of the TSXV of the Offering and the Warrant Amendments (as defined below) with respect to certain existing warrants of the Company held by Encompass. At the Closing, the Company has agreed to issue 25,765,258 Units to Encompass at a deemed issue price of approximately
In addition, pursuant to the Subscription Agreements, the Company has granted Encompass the right but not the obligation, exercisable by Encompass in its sole discretion, to purchase up to
The securities issued under the Offering are subject to a statutory hold period of four months and one day from the date of issuance under Canadian Securities laws.
The offer and sale of the Units were made in a transaction not involving a public offering and have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or applicable state securities laws, and have been sold in a private placement pursuant to Regulation D of the Securities Act. The securities issued in the private placement may not be offered or sold in
This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities, nor shall there be any sale of the securities in any state in which such offer or sale would be unlawful prior to the registration or qualification under the securities laws of such state.
In connection with the Offering, the Company has entered into amended and restated registration rights agreements with respect to the registration rights agreements entered into by the Company with Encompass and EV Metals VI LLC ("EV Metals VI", together with certain of its affiliates and subsidiaries, "EV Metals"), each dated May 3, 2024 (the "RRA Amendments").
In addition, concurrently with the Offering and subject to the approval of the TSXV, the Company will extend the expiration date of the warrants issued under the following private placements with Encompass and EV Metals, as summarized below (the "Warrant Amendments"):
Private Placement | Warrants Issued | Proposed Amendments |
Private Placement with Encompass on April 21, 2023 | 6,396,999 warrants issued pursuant to a private placement of units of the Company, with each warrant entitling the holder thereof to purchase one Common Share at a price of | Extend the expiration date of the warrants under such private placement to April 21, 2028.
|
Private Placement with EV Metals on February 29, 2024 | 2,702,400 warrants issued pursuant to a private placement of units of the Company, with each warrant entitling the holder thereof to purchase one Common Share at a price of | Extend the expiration date of the warrants under such private placement to the same expiration date of the Warrants to be issued in the Offering. |
Private Placement with Encompass and EV Metals on May 3, 2024 | 18,642,134 warrants issued pursuant to a private placement of units of the Company, with each warrant entitling the holder thereof to purchase one Common Share at a price of | Extend the expiration date of the warrants under such private placement to the same expiration date of the Warrants to be issued in the Offering.
With respect to the warrants held by Encompass, amend the respective warrant certificates by adding certain restrictions that limit Encompass from becoming a controlled person as defined under the Securities Act ( |
Private Placement with Encompass and EV Metals on June 19, 2024 | 11,478,246 warrants issued pursuant to a private placement of units of the Company, with each warrant entitling the holder thereof to purchase one Common Share at a price of | Extend the expiration date of the warrants under such private placement to the same expiration date of the Warrants to be issued in the Offering.
With respect to the warrants held by Encompass, amend the respective warrant certificates by adding certain restrictions that limit Encompass from becoming a controlled person as defined under the Securities Act ( |
MI 61-101 Disclosure
The participation by Encompass in the Offering and the Warrant Amendments of the warrants held by Encompass and EV Metals constitute "related party transactions" for the purposes of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is relying on exemptions from the formal valuation and minority shareholder approval requirements for the Related Party Transactions available under MI 61-101. The Company is exempt from the formal valuation requirement in section 5.4 of MI 61-101 in reliance on section 5.5(a) of MI 61-101 and from minority shareholder approval in section 5.6 of MI 61-101 in reliance on section 5.7(1)(a) of MI 61-101, as the fair market value of the Offering and the Warrant Amendments, insofar as it involves related parties, is not more than
About International Battery Metals Ltd.
The Company's direct lithium extraction technology is based on proprietary lithium extraction media housed in patented extraction towers that are enclosed in a modular, shippable platform able to be loaded and brought into production within a minimal time frame after 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. The Company's unique patented technology ensures faster delivery of lithium chloride while ensuring minimal environmental impact.
ON BEHALF OF THE BOARD
"Joseph Mills"
Joseph Mills, CEO
(832) 683-8839
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This news release contains certain information that may constitute "forward-looking statements" under applicable Canadian securities legislation. These forward-looking statements include, but are not limited to, statements relating to the size, price, securities being offered and other terms of the Offering, the timing for closings of the Offering, the use of proceeds in connection with the Offering, the RRA Amendments, the Warrant Amendments and approval by the TSXV. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "forecast", "potential", "target", "intend", "could", "might", "should", "believe" and similar expressions) are not statements of historical fact and may be "forward-looking statements".
Actual results may vary from forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause IBAT's actual results, performance, achievements, and future events to be materially different from the results, performance, achievement, or future events expressed or implied therein. Factors that could affect the outcome include, among others: future prices and the supply of metals, the future demand for metals, inability to raise the money necessary to incur the expenditures required to advance the Company's business strategies and objectives, general business, economic, competitive, political, and social uncertainties, results relating to its extraction technologies, failure to obtain regulatory or shareholder approvals (if required). IBAT believes that the expectations reflected in these forward-looking statements are reasonable, however there can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, readers should not place undue reliance on forward-looking statements.
All forward-looking statements contained in this press release are given as of the date hereof and are based upon the opinions and estimates of management and information available to management as at the date hereof. IBAT disclaims any intention or obligation to update or revise any forward-looking statements, whether because of new information, future events or otherwise, except as required by law.
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SOURCE International Battery Metals Ltd.
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