NextSource Materials Announces Closing of $25 Million LIFE Offering to Advance UAE Battery Anode Facility

Executive Summary

• NextSource Materials Inc. closed its brokered private placement, raising C$24,999,987 by issuing 58,823,500 units at $0.425 per unit.
• Vision Blue Resources Ltd. purchased 27,944,464 units to maintain its pro‑rata ownership, constituting a related‑party transaction exempt from minority approval.
• Net proceeds will be used to advance the UAE Battery Anode Facility, update the Molo technical report, and for general corporate purposes.

Key Details

• Offering Size: Aggregate gross proceeds of C$24,999,987.
• Units Issued: 58,823,500 units at $0.425 per unit.
• Unit Composition: Each unit = 1 common share + ½ common‑share purchase warrant.
• Warrant Terms: Exercise price C$0.55 per share; exercisable starting 61 days after issuance and expiring 36 months thereafter.
• Major Investor: Vision Blue Resources Ltd. purchased 27,944,464 units (≈ 47.5% of total units).
• Use of Proceeds:
• Advance construction/commissioning of the UAE Battery Anode Facility.
• Update the technical report for the Molo graphite project in Madagascar.
• General corporate purposes.
• Exemptions & Compliance: Offering relied on the Listed Issuer Financing Exemption (LIFE) under NI 45‑106 and was not subject to a hold period.
• Agents: Lead agent/sole bookrunner – Stifel Canada; co‑agent – Maxim Group LLC.
• Related‑Party Transaction: Determined exempt from MI 61‑101 valuation and minority‑shareholder approval because the consideration did not exceed 25% of market capitalization. No material change report filed due to timing of Vision Blue’s participation confirmation.
• Regulatory Notices: Securities not registered in the United States; offering not an offer or solicitation to U.S. persons.

Notable Quotes

(No direct quotes were provided in the release.)