NexGen Closes $60 Million Strategic Investment by CEF Holdings

June 10, 2016

Responsive image

NexGen Energy (TSXV:NXE) has announced that it has closed the previously announced private placement of $60 million in aggregate principal amount of unsecured convertible debentures to CEF Holdings and/or affiliates of its shareholders.

Leigh Curyer, president and CEO, said:

Closing of this financing places NexGen with a treasury in excess of C$100M and based on the current footprint of Arrow mineralization is budgeted to advance and optimise Arrow on its development path through to a decision to construct. I would like to take the opportunity to personally thank all involved in the execution of this financing milestone for NexGen. I look forward to delivering regular drilling and development results from Arrow as we progress this exciting project.

As quoted in the press release:

The Debentures were issued pursuant to investment agreements entered into between the Company and CEF, and a trust indenture entered into between the Company and Computershare Trust Company of Canada.

The Debentures have a term of five years and bear interest at a rate of 7.5% per annum, payable semiannually in arrears, with 5% of such interest payable in cash and the remaining 2.5% payable in common shares of the Company, such shares to be issued at a price per share equal to the 20-day volume-weighted average trading price calculated in U.S. dollars (the “20-day VWAP”) prior to the date each such interest payment is due.

The Debentures are convertible at the holder’s option into common shares of the Company at a conversion price of US$2.33, representing a 30% premium to the 20-day VWAP prior to the announcement of the Offering.

Click here to read the full press release.

Get Our Expert Guide to Uranium Investing FREE!

Download this FREE Special Report, Uranium Future Outlook: Uranium Price Forecasts and Top Uranium Stocks to Watch 


The post NexGen Closes $60 Million Strategic Investment by CEF Holdings appeared first on Investing News Network.

Category: Energy