Business
Fathom Nickel Announces Overnight Marketed Offering of Flow-Through Shares
CALGARY, AB, Oct. 25, 2021 /CNW/ - Fathom Nickel Inc. (CSE: FNI) (FSE: 6Q5) (OTCQB: FNICF) (the "Company" or "Fathom") is pleased to announce that it is underta
About this update from Fathom Nickel, Inc.
[{"type":"text","content":" CALGARY, AB, Oct. 25, 2021 /CNW/ - Fathom Nickel Inc. (CSE: FNI) (FSE: 6Q5) (OTCQB: FNICF) (the \"Company\" or \"Fathom\") is pleased to announce that it is undertaking an overnight marketed public offering (the \"Offering\") of Flow-Through Shares (the \"FT Shares\"). The Offering is expected to be completed pursuant to an agency agreement to be entered into between the Company and Echelon Wealth Partners Inc. (\"Echelon\"), as lead agent and sole bookrunner, on behalf of a syndicate of agents (collectively, the \"Agents\"). The number of FT Shares to be sold and the offering price (the \"Offering Price\") will be determined in the course of marketing and there can be no assurance as to completion of the Offering. The Company has granted the Agents an option to purchase up to an additional 15% of the FT Shares sold under the Offering. The Over-Allotment Option may be exercised in whole or in part as determined by the Agents upon written notice to the Company at any time up to 30 days following the closing date of the Offering (the \"Over-Allotment Option\"). The Offering will be completed (i) by way of a short form prospectus to be filed in the Provinces of British Columbia, Alberta, Manitoba, Ontario, and Nova Scotia (the \"Canadian Jurisdictions\"). The Company will pay the Agents a cash commission equal to 7.0% of the gross proceeds of the Offering, including proceeds received from the exercise of the Over-Allotment Option, in addition to broker warrants to purchase up to 7.0% of the number of FT Shares sold pursuant to the Offering, including the FT Shares from the exercise of the Over-Allotment Option sold in the Offering (the \"Broker Warrants\"). Each Broker Warrant shall entitle the Agents to purchase one common share at the Offering Price for a period of 18 months following the closing of the Offering. The gross proceeds of the Offering will be used by the Company to incur eligible \"Canadian exploration expenses\" that will qualify as \"flow-through mining expenditures\" as such terms are defined in the Income Tax Act (Canada) (the \"Qualifying Expenditures\") related to the Company's Albert Lake Project located in Saskatchewan, Canada on or before December 31, 2022. All Qualifying Expenditures will be renounced in favour of the subscribers effective December 31, 2021. The Offering is expected to close on or about No...