Sherritt Announces Non‑Brokered Private Placement for up to $50 Million

Author of the article:You can save this article by registering for free here. Or sign-in if you have an account.Subscribe now to read the latest news in your city and across Canada.Subscribe now to read the latest news in your city and across Canada.Create an account or sign in to continue with your reading experience.Create an account or sign in to continue with your reading experience.TORONTO — Sherritt International Corporation (“Sherritt” or the “Corporation”) (TSX:S) today announced that it has agreed with certain new and existing shareholders of the Corporation to complete a non‑brokered private placement of common shares of Sherritt (“Common Shares”) for aggregate gross proceeds of up to $50 million (collectively, the “Private Placement“). As part of the Private Placement, Seymour Schulich, through a corporation controlled by him, has agreed to subscribe for up to 68,600,000 Common Shares for aggregate gross proceeds of up to $14,406,000.Pursuant to the Private Placement, the Corporation will issue up to 238,095,238 Common Shares from treasury at a price of $0.21 per Common Share.

The Private Placement is expected to close on or about April 7, 2026, subject to customary closing conditions and the receipt of required regulatory approvals, including approval of the Toronto Stock Exchange.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againInterested in more newsletters? Browse here.The net proceeds from the Private Placement are expected to be used for general corporate purposes and to support the Corporation’s operations and strategic initiatives.An existing shareholder of the Corporation holding approximately 13.5% of the outstanding Common Shares is expected to participate in the Private Placement. Such participation constitutes a “related party transaction” within the meaning of Multilateral Instrument 61‑101 – Protection of Minority Security Holders in Special Transactions (“MI 61‑101”). The Corporation expects to rely on exemptions from the formal valuation and minority shareholder approval requirements of MI 61‑101 on the basis that the fair market value of the securities issued to the related party does not exceed 25% of the Corporation’s market capitalization.

The Private Placement will not result in a change of control of the Corporation.The securities offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended, or any U.S. state securities laws, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.Commenting on the Private Placement, Brian Imrie, Chair of Sherritt’s board of directors (the “Board”) said, “This private placement marks a significant development for Sherritt as we continue to navigate through a challenging operating environment. We appreciate the strong support shown by both new and existing shareholders, which reflects their confidence in Sherritt’s future prospects.”In addition, Sherritt announces that Louise Blais has stepped down from its Board effective today, to focus on her commitments at her strategic advisory firm Blais Global.“On behalf of the Board, I would like to thank Louise for her invaluable contributions and dedication during her tenure,” said Mr. Imrie. “Her insights and leadership have helped guide Sherritt through an important period, and we wish her continued success in her future endeavors.”Sherritt is a world leader in using hydrometallurgical processes to mine and refine nickel and cobalt – metals deemed critical for the energy transition. Leveraging its technical expertise and decades of experience in critical minerals processing, Sherritt is committed to expanding domestic refining capacity and reducing reliance on foreign sources. The Corporation operates a strategically important refinery in Alberta, Canada, recognized as the only significant cobalt refinery and one of just three nickel refineries in North America. Sherritt’s Moa Joint Venture produces cost competitive critical minerals while maintaining high sustainability standards and has an estimated mine life of approximately 25 years.The Corporation’s Power division, through its ownership in Energas, is the largest independent energy producer in Cuba, processing domestically sourced raw natural gas to generate electricity for sale to the Cuban national electrical grid. Sherritt’s common shares are listed on the Toronto Stock Exchange under the symbol “S”. https://www.businesswire.com/news/home/20260330803455/en/ContactsPostmedia is committed to maintaining a lively but civil forum for discussion. Please keep comments relevant and respectful. Comments may take up to an hour to appear on the site. You will receive an email if there is a reply to your comment, an update to a thread you follow or if a user you follow comments. Visit our Community Guidelines for more information.