Nexus Announces Repricing of Warrants
Rhea-AI Summary
Nexus Uranium Corp. (CSE: NEXU) (OTCQB: GIDMF) (FSE: 3H1) has announced the repricing of 2,400,000 common share purchase warrants. The warrants, originally priced at $0.60 with an expiry date of April 30, 2026, will now have an exercise price of $0.36, effective immediately. This repricing is subject to the unanimous consent of the registered warrant holders and complies with Canadian Securities Exchange (CSE) policies.
The CSE requires that if the closing price of Nexus's common shares exceeds the new exercise price by more than 25% for any ten consecutive trading days, the expiry date of the repriced warrants must be amended to 30 days from the end of that period. Nexus will announce any such change via press release, with the 30-day period commencing seven days after the announcement.
Positive
- Reduction of warrant exercise price from $0.60 to $0.36, potentially encouraging warrant exercise
- Compliance with CSE policies, ensuring regulatory adherence
Negative
- Potential dilution of existing shareholders if warrants are exercised at the lower price
- Risk of accelerated warrant expiration if stock price increases significantly
News Market Reaction
On the day this news was published, GIDMF declined 1.12%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Vancouver, British Columbia--(Newsfile Corp. - October 18, 2024) - Nexus Uranium Corp. (CSE: NEXU) (OTCQB: GIDMF) (FSE: 3H1) (the "Company" or "Nexus") announces the repricing of 2,400,000 common share purchase warrants with an exercise price of
As the Warrant Repricing will result in an exercise price lower than the market price of the Company's common shares on the date the warrants were issued, CSE policies require that, if following the Warrant Repricing, for any ten consecutive trading days the closing price of the Company's common shares on the CSE exceeds the amended exercise price by more than
About Nexus Uranium Corp.
Nexus Uranium Corp. is a multi-commodity development company focused on advancing the Cree East uranium project in the Athabasca Basin and the Wray Mesa uranium-vanadium project in Utah in addition to its precious metals portfolio that includes the Napoleon gold project in British Columbia, and a package of gold claims in the Yukon. The Cree East project is one of the largest projects within the Athabasca Basin of Saskatchewan spanning 57,752 hectares (142,708 acres) and has seen over
The technical content of this news release has been reviewed and approved by Warren D. Robb, P.Geo. (BC), a Director and VP Exploration of Nexus Uranium Corp. and a Qualified Person under National Instrument 43-101.
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FOR FURTHER INFORMATION PLEASE CONTACT:
Jeremy Poirier
Chief Executive Officer
info@nexusuranium.com
This news release includes certain statements and information that may constitute "forward-looking information" within the meaning of applicable Canadian securities laws. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". All statements in this news release, other than statements of historical facts, including statements regarding future estimates, plans, objectives, timing, assumptions or expectations of future performance are forward-looking statements and contain forward-looking information, including, but not limited to, completion of the Warrant Repricing. Forward-looking statements are based on certain material assumptions and analysis made by the Company and the opinions and estimates of management as of the date of this news release, including, but not limited to the assumption that the holders of the Repriced Warrants will consent to the Warrant Repricing. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including, but not limited to the risk that the holders of the Repriced Warrants will not consent to the Repricing, stock market volatility and capital market fluctuations, general market and industry conditions, as well as those risk factors discussed in the Company's most recently filed management's discussion & analysis. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial outlook that are incorporated by reference herein, except in accordance with applicable securities laws.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/227036
FAQ
What is the new exercise price for Nexus Uranium Corp's (GIDMF) repriced warrants?
How many warrants are affected by Nexus Uranium Corp's (GIDMF) repricing announcement?
When do the repriced warrants of Nexus Uranium Corp (GIDMF) expire?
Under what conditions would the expiry date of Nexus Uranium Corp's (GIDMF) repriced warrants change?
