Ucore Announces Closing of Bought Deal Public Offering for Gross Proceeds of C$69 Million
Ucore Rare closes a C$69M offering at a discount to fund the build-out of its Louisiana rare earth refinery.
Ucore Rare Metals Inc. announced the closing of a bought-deal public offering, raising aggregate gross proceeds of C$69,004,600. The transaction included the full exercise of the 15% over-allotment option, resulting in the issuance of 24,644,500 common shares at C$2.80 per share.
The net proceeds are designated for the development of the Louisiana Strategic Metals Complex (SMC), working capital, and general corporate purposes. The offering was underwritten by Red Cloud Securities Inc. and B. Riley Securities, Inc., with a 6.0% cash fee on gross proceeds. The transaction follows the initial announcement on August 6, 2026, and remains subject to final TSX Venture Exchange approval.
Ucore Rare Metals Inc. (UCU) announced a financing on August 6, 2026, to secure liquidity for advancing the SMC construction and covering operating costs. The shares were issued at C$2.80, a discount to the recent trading range where the stock closed at $3.20 on August 11, 2026. This pricing strategy was intended to ensure deal closure and attract institutional participation.
While the capital raise is dilutive to existing shareholders, it significantly extends the cash runway, mitigating near-term refinancing risk and aligning with management's stated need for additional funding within two years. The transaction does not alter the fundamental technology risk, construction timeline, or commercialization pathway. It represents a necessary capital event for the pre-revenue development-stage company.
Ucore Rare Metals Inc. is a Canadian critical minerals company focused on developing a Western-aligned rare earth element (REE) supply chain. The company’s flagship project is the Louisiana Strategic Metals Complex (SMC) in Alexandria, LA. The optimized design for the facility features Enhanced Machine A plus three RapidSX™ Production Lines, targeting approximately 9,600 tonnes per annum (tpa) of total rare earth oxides (TREO).
The company utilizes RapidSX™, a proprietary solvent extraction platform that claims 2-4 times faster throughput, a 60% smaller footprint, and 34% lower capital expenditure (CAPEX) compared to conventional solvent extraction (CSX). In addition to the Louisiana project, Ucore holds secondary assets including the Kingston, Ontario Commercialization and Demonstration Facility (CDF) for Samarium/Gadolinium processing, and the Bokan-Dotson Ridge project in Alaska.
Management is led by Chairman and CEO Pat Ryan and Vice President and Chief Operating Officer Michael L. Schrider, P.E., a Qualified Person with extensive engineering and mining experience.