Graphene Manufacturing arranges $5-million bought deal

Executive Summary

• Graphene Manufacturing Group Ltd. has entered into an agreement with Red Cloud Securities Inc. for a bought deal public offering of 5,555,556 units for gross proceeds of approximately C$5 million.
• Each unit consists of one common share and one common share purchase warrant, exercisable at $1.35 per share for 36 months.
• Net proceeds will be used to finance continuing operations, including commercial development, product development, and working capital.

Key Details

• Underwriter: Red Cloud Securities Inc. (sole underwriter and bookrunner).
• Units Sold: 5,555,556 units.
• Offering Price: C$0.90 per unit.
• Gross Proceeds: Approximately C$5,000,000.
• Unit Composition: Each unit comprises one common share and one common share purchase warrant.
• Warrant Terms:
  • Entitles holder to purchase one common share.
  • Exercise Price: $1.35 per share.
  • Expiration: 36 months after the closing date.
• Over-allotment Option: The underwriter has an option to purchase up to 15% additional units (approx. 833,333 units) at the offering price for a period of 30 days after closing to cover overallotments and for market stabilization.
• Use of Proceeds: Financing continuing operations, including commercial development, product development, and working capital.
• Regulatory Filings: A prospectus supplement will be filed to the Final Short Form Base Shelf Prospectus dated March 7, 2025, with securities regulatory authorities in Canadian provinces and territories (except Quebec).
• Closing Date: Expected on or about September 3, 2025, subject to regulatory approvals, including TSX Venture Exchange listing approval for the shares and warrants.

Notable Quotes

• No direct quotes from management were included in the provided text.