Lithium Royalty Corp. Files Final Prospectus and Announces Pricing of Initial Public Offering of Common Shares
/NOT FOR DISTRIBUTION IN THE UNITED STATES OR OVER UNITED STATES NEWS WIRE SERVICES/
TORONTO, March 8, 2023 /CNW/ - Lithium Royalty Corp. ("LRC", "our" or "we") today announced that it has obtained a receipt for its final base PREP prospectus filed with the securities regulatory authorities in each of the provinces and territories of Canada for an initial public offering of common shares and has entered into an underwriting agreement with respect to the offering for an aggregate of 8,824,000 common shares of LRC at a price of C$17.00 per share, for gross proceeds of approximately C$150 million. The offering is being co-led by Canaccord Genuity Corp. and Citigroup Global Markets Canada Inc., together with TD Securities Inc., Cormark Securities Inc., National Bank Financial Inc., BMO Capital Markets, Scotiabank, Raymond James Ltd. and Red Cloud Securities Inc. as underwriters.
The underwriters have been granted an over-allotment option to purchase up to an additional 1,323,600 common shares at a price of C$17.00 per share, for additional gross proceeds of approximately C$22.5 million if the over-allotment option is exercised in full. The over-allotment option can be exercised for a period of 30 days from the closing date of the offering.
The closing of the offering is expected to occur on March 15, 2023, subject to customary closing conditions. The common shares are expected to begin trading on the Toronto Stock Exchange ("TSX") on an if, as and when issued basis, on March 9, 2023, in Canadian dollars under the symbol "LIRC". The TSX has conditionally approved the listing of the common shares, subject to fulfilling customary TSX requirements.
A (final) base PREP prospectus containing important information relating to LRC, the common shares and the offering has been filed with the securities commissions or similar authorities in each of the provinces and territories of Canada, and a supplemented PREP prospectus containing pricing information and other important information relating to the offered shares will be filed shortly. Copies of the supplemented PREP prospectus will be available from Canaccord Genuity Corp. at [email protected]. Investors should read the supplemented PREP prospectus before making an investment decision.
No securities regulatory authority has either approved or disapproved the contents of this news release. The common shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws. Accordingly, the common shares may not be offered or sold within the United States unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to exemptions from the registration requirements of the U.S. Securities Act and applicable state securities laws. This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any securities of LRC in any jurisdiction in which such offer, solicitation or sale would be unlawful.
LRC is a lithium-focused royalty company with a globally diversified portfolio of 29 royalties on mineral properties around the world that supply and are expected to supply raw materials to support the electrification of transportation and decarbonization of the global economy. Our portfolio is focused on high-grade and low cost mineral projects that are primarily located in Australia, Canada, South America and the United States. LRC is a signatory to the United Nations Principles for Responsible Investment and the integration of ESG factors and sustainable mining are important considerations in our investment analysis and royalty acquisitions.
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation, including statements with regard to the closing of our initial public offering. Forward-looking information involves known and unknown risks and uncertainties, many of which are beyond our control, that could cause actual results to differ materially from those that are disclosed in or implied by such forward-looking information. These risks and uncertainties include, but are not limited to, those described under "Risk Factors" in our (final) base PREP prospectus. Forward-looking information is based on management's beliefs and assumptions and on information currently available to management. Although the forward-looking information contained in this news release is based upon what management believes are reasonable assumptions, you are cautioned against placing undue reliance on this information since actual results may vary from the forward-looking information. Unless otherwise noted or the context otherwise indicates, the forward-looking information contained in this news release is provided as of the date of this news release, and we do not undertake to update or amend such forward-looking information whether as a result of new information, future events or otherwise, except as may be required by applicable law.
SOURCE Lithium Royalty Corp.
Contact Information for Inquiries: Ernie Ortiz, Chief Executive Officer, 416-572-3900, [email protected]
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