Nexcel Closes Oversubscribed $3.55 Million Private Placement
Executive Summary
- Nexcel Metals Corp. closed a non‑brokered private placement raising $3,549,800 in aggregate gross proceeds.
- The offering consisted of 1,190,000 flow‑through units at $0.42 and 8,714,285 non‑flow‑through units at $0.35, each unit paired with a common share purchase warrant.
- Proceeds will fund Canadian exploration expenses on the Lac Ducharme (QC) and Burnt Hill (NB) properties, additional exploration work, general & administrative costs, and working capital; FT Unit proceeds will be renounced to investors as flow‑through mining expenditures.
Key Details
- Units Issued
- Flow‑Through Units (FT Units): 1,190,000 units @ $0.42 = $499,800 gross.
- Each FT Unit = 1 flow‑through common share + 1 transferable warrant to purchase a non‑flow‑through share at $0.50 (exercisable until Dec 4 2027).
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Non‑Flow‑Through Units (NFT Units): 8,714,285 units @ $0.35 = $3,050,000 gross.
- Each NFT Unit = 1 non‑flow‑through common share + 1 transferable warrant to purchase a non‑flow‑through share at $0.45 (exercisable until Dec 4 2027).
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Use of Proceeds
- FT Unit proceeds: Directed to Canadian exploration expenses on Lac Ducharme (QC) and Burnt Hill (NB) properties; will be renounced to FT Unit subscribers as flow‑through mining expenditures.
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NFT Unit proceeds: Allocated to additional exploration work, general & administrative expenses, and working capital.
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Shareholder Approval
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Issuance resulted in >100 % of existing common shares outstanding, requiring CSE Policy 4 shareholder consent. Written consent obtained from shareholders holding >50 % of outstanding common shares as of Nov 7 2025.
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Finder’s Fees
- Cash paid: $230,276.
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Non‑transferable Finder’s Warrants issued: 641,272 warrants (exercise prices ranging $0.35–$0.50) exercisable until Dec 4 2027.
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Hold Period
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All securities issued are subject to a hold period expiring April 5 2026.
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Restricted Share Unit Plan
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Board approved adoption of a 20 % rolling RSU plan, supplementing the existing 10 % stock option plan; pending shareholder approval at next AGM.
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Regulatory Notices
- Securities not registered under U.S. securities laws; offering not available to U.S. persons absent exemption.
Notable Quotes
“The successful completion of this private placement provides us with the capital needed to advance our exploration programs on Lac Ducharme and Burnt Hill, while also strengthening our balance sheet for ongoing operations.” – Hugh Rogers, CEO
All forward‑looking statements are subject to risks and uncertainties detailed in the release.