Graphite One Inc. Announces CA$18 Million Private Placement: Your Questions Answered
Author: Staff Reporter
Date: July 23, 2025
Introduction: Graphite One Inc. Announces CA$18 Million Private Placement: On July 23, 2025, Graphite One Inc. (GPH:TSX.V; GPHOF:OTCQX) made an exciting announcement regarding a CA$18 million private placement. The company has entered into an agreement with a syndicate of agents, led by BMO Capital Markets, to raise capital that will support key initiatives at its flagship project.This offering, set to close on August 8, 2025, will involve the issuance of units priced at CA$0.90 each, including common shares and purchase warrants. In this Q&A , we break down the details of the offering, including terms, funding uses, and other essential information, to help you understand the significance of this move and its potential impact on the company and its stakeholders.
Graphite One Inc. (GPH:TSX.V; GPHOF:OTCQX) recently announced a significant private placement. To help you understand the details, we've broken down the key information into a Q&A format.
Q1: What has Graphite One Inc. announced?
A1: Graphite One Inc. has entered into an agreement with a syndicate of agents, led by BMO Capital Markets, to raise up to CA$18 million through a private placement.
Q2: When was this offering announced?
A2: The offering was announced on July 23.
Q3: What are the terms of the offering?
A3: The offering consists of units priced at CA$0.90 each. Each unit includes:
- One common share of Graphite One Inc.
- One-half of a common share purchase warrant.
Q4: What are the terms of the common share purchase warrants?
A4: Each whole warrant grants the holder the right to acquire an additional common share at a price of CA$1.25. This right can be exercised for a period of 12 months following the closing of the offering.
Q5: Is there an option for the agents to purchase more units?
A5: Yes, Graphite One Inc. has granted the syndicate of agents an option to purchase up to an additional 15% of the offering. This option is exercisable up to 48 hours before the expected closing date.
Q6: What is the expected closing date for this offering?
A6: The expected closing date for the private placement is August 8, 2025.
Q7: How will the net proceeds from this offering be used?
A7: The net proceeds are earmarked for several key purposes:
- Environmental studies and permitting activities at the Graphite Creek property in Alaska.
- A milestone payment related to the company's technology licensing agreement with Chenyu.
- General working capital.
Q8: Under what Canadian exemption is this offering being conducted?
A8: The offering is being conducted under the listed issuer financing exemption in National Instrument 45-106 – Prospectus Exemptions, as amended by the Canadian Securities Administrators' Coordinated Blanket Order 45-935.
Q9: Will the securities issued be subject to a statutory hold period in Canada?
A9: No, because the offering is being conducted under the listed issuer financing exemption, the securities issued will not be subject to a statutory hold period under Canadian securities laws.
Q10: Where can I find the offering document for more information?
A10: An offering document is available on www.sedarplus.ca and also on Graphite One Inc.'s company website.
Q11: Can these securities be sold in the United States?
A11: The securities have not been registered under the U.S. Securities Act of 1933. Therefore, they may not be sold in the United States without appropriate registration or an applicable exemption from registration.
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