Ucore Rare Metals Inc. Amends Previously-Issued Convertible Debentures

Counsel to Ucore Rare Metals Inc.

Lead by

Team Members

On September 23, 2024, Ucore Rare Metals Inc. (TSXV: UCU and OTCPINK: UURAF)(“Ucore”) received the TSX Venture Exchange’s final acceptance of the following amendments to certain previously-issued unsecured convertible debentures with a current maturity of May 31, 2024 (the “Convertible Debentures”). Specifically, the parties agreed to:

  • extend the term of the Convertible Debentures so that the new maturity date will be January 31, 2026;
  • amend the conversion features such that, at any time during the term of the Convertible Debentures, a holder may elect to convert the outstanding net principal amount, or any potion thereof, into units at a conversion price of $0.90 per unit, with each unit consisting of one common share and one-half of a warrant; and
  • amend the terms of the underlying warrants by changing the exercise price of the warrants from $1.80 per share to $1.30 per share, and changing the term of the warrants from May 31, 2024 to January 31, 2026, in order to match the new maturity date of the Convertible Debentures.

The Convertible Debentures were originally issued in connection with a private placement that closed in May 2020 for aggregate gross proceeds of $2.8 million. Certain parties holding a total of 1,145 of the Convertible Debentures, representing an aggregate face value of $1.145 million, agreed to the amendments described above.

Ucore is a TSXV-listed company focused on rare and critical metals resources, extraction, beneficiation and separation technologies with potential for production, growth and scalability. Ucore owns the Bokan Mountain Rare Earth Element Project in Southeast Alaska. Ucore also owns Innovation Metals Corp., a technology company that has developed the proprietary RapidSX™ process for the intended low-cost separation and purification of rare earth elements, nickel, cobalt, lithium and other technology metals, via an accelerated form of solvent extraction.

Miller Thomson advised Ucore on the transaction with a team comprising of Geoff Clarke, Jonathan Tong and Madison Derraugh (Capital Markets & Securities, Mining), as well as and David Reynolds and Stefan Mirkovic (Financial Services) and securities clerk, Anca Nitu.

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