/THIS NEWS RELEASE IS INTENDED FOR
DISTRIBUTION IN CANADA ONLY AND IS
NOT INTENDED FOR DISTRIBUTION TO UNITED
STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES/
All monetary amounts are expressed in Canadian
Dollars, unless otherwise indicated.
TORONTO, Feb. 2, 2024
/CNW/ - NiCAN Limited. (TSXV: NICN) ("NiCAN" or the "Company") is
pleased to announce that it has entered into an agreement with
Stifel Nicolaus Canada Inc. ("Stifel"), in connection with a
"bought deal" private placement offering consisting of (i)
3,000,000 common shares (the "Common Shares") of the Company
at a price of $0.10 per Common Share
(the "Common Share Offering Price"); and (ii) 7,000,000
common shares that qualify as "flow through shares" (within the
meaning of subsection 66(15) of the Income Tax Act (Canada)) (the "Flow Through Shares") at
a price of $0.175 per Flow
Through Share (the "Flow Through Share Offering Price") for
aggregate gross proceeds of $1,525,000 (the
"Offering").
The Underwriters also have an option to purchase that number of
additional Common Shares and Flow-Through Shares equal to 20% of
the number of Common Shares and Flow Through Shares sold pursuant
to the Offering at the Common Share Offering Price and Flow Through
Share Offering Price, as the case may be, to cover over-allotments,
exercisable in whole or in part, up to 48 hours prior to the
Closing Date.
The Company will use an amount equal to the gross proceeds from
the sale of the Flow Through Shares, pursuant to the provisions in
the Income Tax Act (Canada), to
incur eligible "Canadian exploration expenses" that qualify as
"flow-through critical mineral mining expenditures" as both terms
are defined in the Income Tax Act (Canada) (the "Qualifying Expenditures")
related to the Company's mineral projects located in Manitoba, on or before December 31, 2025, and to renounce all the
Qualifying Expenditures in favour of the subscribers of the Flow
Through Shares with an effective date not later than December 31, 2024. The Company intends to use the
proceeds raised from the Common Share Offering for general working
capital purposes.
The Offering is scheduled to close on or about February 23, 2024 and is subject to certain
conditions including, but not limited to, the receipt of all
necessary regulatory and other approvals including the approval of
the TSX Venture Exchange.
This press release does not constitute an offer to sell or a
solicitation of an offer to buy any of the securities in
the United States. The securities
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 and may not be offered or sold within
the United States or to or for the
account or benefit of a U.S. person (as defined in Regulation S
under the U.S. Securities Act) unless registered under the U.S.
Securities Act and applicable state securities laws or an exemption
from such registration is available.
About NiCAN
NiCAN Limited is a mineral exploration company, trading under
the symbol "NICN" on the TSX-V. The Company is actively exploring
two nickel projects, both located in well-established mining
jurisdictions in Manitoba,
Canada.
To receive news releases by e-mail, please register using the
NiCAN website at www.nicanltd.com
Cautionary Note Regarding Forward-Looking Statements
The information contained herein contains certain
"forward-looking information" under applicable securities laws
concerning among other things, the Offering, the mineral potential
of the property, projected property analogues, future exploration
programs and the funding thereof, and the plans of NiCAN Limited.
Forward-looking information includes, but is not limited to: the
anticipated closing of the Offering, the use of proceeds and
receipt of regulatory approvals; the size and timing of the drill
program, results of the drill program, interpretations of the
various surveys, NiCAN's ability to identify mineralization similar
to that found in prior drill holes, the benefits and the potential
of the properties of the Company; future commodity prices
(including in relation to NiEq calculations); drilling and other
exploration potential; costs; and permitting. Forward-looking
information may be characterized by words such as "plan," "expect,"
"project," "intend," "believe," "anticipate", "estimate" and other
similar words, or statements that certain events or conditions
"may" or "will" occur. Forward-looking information is based on the
opinions and estimates of management at the date the statements are
made and are based on a number of assumptions and subject to a
variety of risks and uncertainties and other factors that could
cause actual events or results to differ materially from those
projected in the forward-looking information. Many of these
assumptions are based on factors and events that are not within the
control of the Company and there is no assurance they will prove to
be correct. Factors that could cause actual results to vary
materially from results anticipated by such forward-looking
information includes changes in market conditions, fluctuating
metal prices and currency exchange rates, the possibility of
project cost overruns or unanticipated costs and expenses and
permitting disputes and/or delays. Although the Company has
attempted to identify important factors that could cause actual
actions, events or results to differ materially from those
described in forward-looking information, there may be other
factors that cause 6 actions, events or results not to be
anticipated, estimated or intended. There can be no assurance that
forward-looking information will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. The Company undertakes no
obligation to update forward-looking information if circumstances
or management's estimates or opinions should change except as
required by applicable securities laws. The reader is cautioned not
to place undue reliance on forward-looking information.
Neither TSX-V nor its Regulation Services Provider (as that term
is defined in policies of the TSX-V) accepts responsibility for the
adequacy or accuracy of this release.
SOURCE Nican Ltd.