Global Atomic Closes C$35.6M Private Placement: A Boost for Uranium Development

Global Atomic Corporation (GLO) has announced the successful closing of its C$35.6 million private placement, a significant milestone for the company's uranium development projects and cash-flowing zinc concentrate production. The Offering, which was increased from the initial C$30 million, attracted strong investor interest, with a new, significant US-based institutional investor leading the order. The closing of this private placement will have a substantial impact on Global Atomic's financial position and future growth prospects.

The net proceeds from the Offering will be used primarily for the advancement of the Dasa Project, a fully permitted, large, high-grade uranium deposit discovered in 2010 by Global Atomic geologists. The project is on track for yellowcake production in early 2026, with the commissioning of the processing plant scheduled for Q1 2026. The additional funds will enable Global Atomic to continue its development work, stay on schedule for production, and potentially secure a major funding component in the form of a bank financing or a joint venture agreement in Q1 2025.

A portion of the net proceeds will also be used for general working capital purposes, allowing Global Atomic to maintain and grow its operations, invest in new projects, and explore additional opportunities. The company's Base Metals Division holds a 49% interest in the Befesa Silvermet Turkey, S.L. (BST) Joint Venture, which operates a modern zinc recycling plant, located in Iskenderun, Türkiye. This cash-flowing operation contributes to the company's working capital and supports its long-term objectives.

The closing of this private placement introduces a new, significant US-based institutional investor, which could lead to a more diversified shareholder base. This could potentially bring additional expertise and resources to the company, as well as increased visibility in the US market. However, the private placement will result in some dilution for existing shareholders, as the issuance of 44,500,000 units, each consisting of one common share and one warrant, will increase the share count. The extent of the dilution will depend on whether the warrants are exercised.



In conclusion, the closing of the C$35.6 million private placement is a significant achievement for Global Atomic, providing the company with the financial resources needed to advance its Dasa Project, maintain its operations, and pursue new growth opportunities. The introduction of a new institutional investor brings additional expertise and resources to the company, while the dilution to existing shareholders is a necessary trade-off for the capital raised. As Global Atomic continues to execute its strategic initiatives, investors should monitor the company's progress and assess the potential impact on its share price and market position.