Lithium Ionic closes $5.41M final tranche of financing

Executive Summary

• Lithium Ionic Corp. closed the second and final tranche of its oversubscribed non‑brokered private placement, issuing a total of 26,090,130 units at $0.70 per unit for gross proceeds of $18,263,091.
• The financing includes 7,739,989 units in the second tranche raising $5,417,992, bringing total net proceeds to be used for development of Brazilian lithium properties and general corporate purposes.
• Lithium Ionic will issue 7,790,109 common shares to RTEK International DMCC as compensation for completing a NI 43‑101 feasibility study that is expected to reduce capital expenditures by US$75.2 million.

Key Details

• Units Issued – First Tranche (closed Sept. 29, 2025): 18,350,141 units at $0.70 per unit.
• Units Issued – Second Tranche (final tranche): 7,739,989 units at $0.70 per unit for gross proceeds of $5,417,992.
• Aggregate Units Issued: 26,090,130 units representing one common share plus one common‑share purchase warrant per unit.
• Warrant Terms: Each warrant allows purchase of one common share at an exercise price of $0.90 for a period of 24 months from the issuance date.
• Use of Proceeds: Development of Brazilian lithium properties (Itinga and Salinas projects) and general corporate purposes.
• Holding Period: Securities subject to a four‑month hold period under applicable securities laws.
• Regulatory Conditions: Closing contingent upon receipt of all necessary approvals, including TSX Venture Exchange approval. No finders’ fees were paid.
• Insider Participation: Insiders acquired 947,929 units in the second tranche; transaction exempt from formal valuation and minority‑shareholder approval under MI 61‑101 because neither fair market value nor consideration exceeds 25 % of market cap.
• Service Compensation to RTEK International DMCC: Issuance of 7,790,109 common shares as consideration for completing a NI 43‑101 feasibility study (announced Sept. 17, 2025). The study targets a US$75.2 million reduction in capital expenditures versus the May 2024 feasibility study. Share issuance subject to TSX Venture Exchange approval.

Notable Quotes

• No executive quotes were provided in the release.