Forsys Metals Corp. has successfully completed a private placement, securing N$67.94 million (C$5.28 million) to finance the Norasa Uranium Project in Namibia and for working capital.
The company announced that the financing was conducted through a non-brokered private placement, issuing up to 10,560,000 units at a subscription price of N$6.44 (C$0.50) per unit.
Each unit includes one Class A common share and one common share purchase warrant. The warrant grants holders the right to acquire an additional common share at N$9.65 (C$0.75) per share for 24 months from issuance.
“The proceeds from the private placement will be used to continue to fund the Norasa Uranium Project in Namibia and general working capital purposes,” the company stated.
Forsys management and members of the Board of Directors will fully subscribe to the placement, making it a “related party transaction” under Multilateral Instrument 61-101 (MI 61-101)—Protection of Minority Security Holders in Special Transactions. However, the company is exempt from formal valuation and minority shareholder approval requirements, as insider participation will not exceed 25% of Forsys’ market capitalization.
All securities issued will be subject to a four-month and one-day holding period from the date of issuance. The placement’s completion is contingent on customary regulatory approvals, including clearance from the Toronto Stock Exchange.
Forsys Metals Corp. is an emerging uranium developer focused on advancing its wholly owned Norasa Uranium Project, which consists of the Valencia Uranium deposit (ML-149) and the nearby Namibplaas Uranium deposit (EPL-3638).
