Nouveau Monde Graphite closes $309.5 million financing for Matawinie mine

Nouveau Monde Graphite Inc. (NYSE: NMG) completed its private placement financing package with three investors, raising approximately $213.2 million in gross proceeds. The Canada Growth Fund Inc., Government of Québec via Investissement Québec, and ENI S.p.A. participated in the transaction at $1.84 per common share.

The private placement forms part of the financing for the Phase-2 Matawinie Mine commercial operations. Canada Growth Fund purchased 44.5 million shares, Investissement Québec acquired 33.4 million shares, and ENI bought 38 million shares.

Following the private placement closing, the company released escrowed proceeds from a previously announced public offering of subscription receipts. The 52.4 million subscription receipts issued in April automatically converted to common shares, generating additional gross proceeds of $96.5 million.

With the completed equity financing and previously announced senior project debt facilities of $335 million, Nouveau Monde confirmed the final investment decision for the Phase-2 Matawinie Mine. The company plans to use proceeds for mine design, engineering, construction, and general working capital.

After the transactions, the company has 329.1 million common shares outstanding. Canada Growth Fund now holds 19.5% of outstanding shares, Investissement Québec owns 17.9%, and ENI holds 11.6%.

The company also appointed Josée Gagnon as chief legal officer and Martine Paradis as chief of sustainability and culture officer. Gagnon will oversee legal and governance matters, while Paradis will lead sustainability strategy and talent management.

The transactions required shareholder approval under Toronto Stock Exchange rules and Quebec securities regulations, which were obtained on May 13. The subscription receipts are expected to be delisted from the TSX following the conversion.

You May Also Be Interested In

• Alphabet added to Dow Jones Industrial Average, Verizon dropped
• Upwork secures $150M revolving credit facility with Bank of America
• GameStop drops Cohen’s $35B pay plan to focus on eBay acquisition