Imperial Metals Corporation announced a non-brokered private placement offering non-convertible debentures for gross proceeds of up to CAD 53 million on December 9, 2022. The non-convertible debentures have an aggregate principal amount of CAD 53 million. The transaction will include participation from returning individual investor, N. Murray Edwards, the largest shareholder of the company, has advised that he intends to purchase at least CAD 40 million of the debentures in the transaction.

The debentures will have maturity date of a 4-year term ending December 16, 2026. The company intends to issue 6,625,000 warrants which will be exercisable into common shares of the company at a price of CAD 2.10, subject to all required shareholder and regulatory approvals. Interest at 10% per annum will be payable semi-annually in cash with the first payment due on June 16, 2023.

Should the warrants not receive the requisite approvals, interest on the debentures will increase to 12% per annum.