Gratomic Announces Extension of $6 Million Non-Brokered Private Placement

Rhea-AI Summary

Gratomic Inc. (OTCQX: CBULF) has extended the closing of its non-brokered private placement offering, aiming to raise up to $6 million from the sale of 20 million working capital units at $0.30 each. So far, the company has raised $2,723,980.50 and anticipates completing a further tranche this week. The offering includes common shares and warrants for future purchases at $0.45 per share. CEO Arno Brand expressed optimism about the extension facilitating the closing of the offering. Gratomic remains focused on its graphite projects in Namibia, Brazil, and Canada and aims to strengthen its position in the electric car battery supply chain.

Positive

• Raised $2,723,980.50 in the ongoing private placement.
• Optimistic CEO statement about extending the closing of the offering.
• Company's strategic focus on the electric car battery supply chain.

Negative

• Only 45% of the target funding has been raised so far.
• Potential dilution risk for existing shareholders due to additional share offerings.

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TORONTO, ON / ACCESSWIRE / March 13, 2023 / Gratomic Inc. ("Gratomic", "GRAT" or the "Company") (TSX-V:GRAT)(OTCQX:CBULF)(Frankfurt:CB82) announces that it will be extending the closing of its non-brokered private placement offering of up to 20,000,000 working capital units ("WC Units") at a price of $0.30 per WC Unit for gross proceeds of up to $6 million (the "Offering") for up to a further thirty (30) days. The Company has raised $2,723,980.50 to date. The Company expects to close a further tranche of the financing this week. The balance of the financing will close on the earlier of the sale of the remaining 10.9 million WC Units and April 11, 2023.

Each WC Unit consists of one (1) Common Share and one (1) Common Share purchase warrant (a "WC Warrant"). Each WC Warrant entitles the holder to purchase one (1) Common Share (a "WC Warrant Share") at a price of $0.45 per WC Warrant Share until two (2) years form the closing of the Offering.

Arno Brand, President and CEO of Gratomic, stated: "Interest in the financing continues to build and I am optimistic that this extension will give us the time we need to complete the Offering."

Insiders of the Company may subscribe for up to 25% of the WC Units in the Offering. The insider private placements are exempt from the valuation and minority shareholder approval requirements of Multilateral Instrument 61-101 ("MI 61-101") by virtue of the exemptions contained in sections 5.5(a) and 5.7(1) (a) of MI 61-101 in that the fair market value of the consideration for the securities of the Company to be issued to the insiders does not exceed 25% of its market capitalization.

The securities to be offered pursuant to the Offering have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, United States persons absent registration or any applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in the United States, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Gratomic

Gratomic is a multinational company with projects in Namibia, Brazil, and Canada. The Company is committed to becoming a leading global graphite supplier and aims to establish a strong position in the electric car battery supply chain. With the ongoing development of its flagship Aukam project and further exploration on the Company's Capim Grosso Graphite Project, Gratomic is setting itself apart by seeking unique high-quality assets around the world. The Company remains true to its roots and will continue to explore graphite deposits with development potential. The Company ranked third among the top 10 preforming TSX Venture 50™ mining stocks of 2022.

Large quantities of high-grade graphite concentrate have been shipped for testing following early positive results to confirm its suitability as an anode material. Gratomic is confident that the test results will provide a unique competitive advantage in its intended target markets. The Company will keep the public informed on the status of these tests and will announce the results as soon as they become available.

On the January 25, 2023 Gratomic announced that it had entered into a LOI with Graphex Technologies to supply graphite through existing facilities and develop a downstream processing facility in the continental US.

The Company has entered into a collaboration agreement with Forge Nano. With its patented ALD coating, this cooperation with Forge Nano is a key element in supporting Gratomic's strategies towards the value-added phases of production of graphite for anode applications through integrating its advanced atomic layered deposition technology to the coating of anode Graphite powders post micronizing and spheronizing.

For more information: Visit www.gratomic.ca or contact:

Arno Brand at abrand@gratomic.ca or (416) 561- 4095

Sign up at gratomic.ca/contact/ to be added to our email list.

For marketing and media information, please email: info@gratomic.ca

"Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

Forward Looking Statements:

This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Investors are cautioned that these forward-looking statements are neither promises nor guarantees and are subject to risks and uncertainties that may cause future results to differ materially from those expected. These forward-looking statements are made as of the date hereof and, except as required under applicable securities legislation, the Company does not assume any obligation to update or revise them to reflect new events or circumstances. All of the forward-looking statements made in this press release are qualified by these cautionary statements and by those made in our filings with SEDAR in Canada (available at www.sedar.com)

SOURCE: Gratomic Inc.

View source version on accesswire.com:
https://www.accesswire.com/743319/Gratomic-Announces-Extension-of-6-Million-Non-Brokered-Private-Placement

FAQ

What is the purpose of Gratomic's private placement offering?

Gratomic's private placement aims to raise up to $6 million for working capital.

How much has Gratomic raised in its private placement so far?

Gratomic has raised $2,723,980.50 to date in its private placement.

What is the price of the working capital units in Gratomic's offering?

Each working capital unit is priced at $0.30.

What are the terms of the warrants included in Gratomic's offering?

Warrants allow purchase of common shares at $0.45 per share for two years.

When does Gratomic expect to close the remaining financing?

The remaining financing is expected to close by April 11, 2023.