Street Calls of the Week
VANCOUVER - Standard Uranium Ltd. (TSXV:STND) (OTCQB:STTDF), a uranium exploration company with a market capitalization of approximately $8 million, has closed the second tranche of its non-brokered private placement, raising gross proceeds of $484,000, according to a company press release issued Wednesday. InvestingPro analysis shows the company’s stock has delivered an impressive 127% return year-to-date, reflecting strong investor interest in the uranium sector.
The uranium exploration company issued 1,550,000 non-flow-through units at $0.08 per unit for proceeds of $124,000, and 3,600,000 flow-through units at $0.10 per unit for proceeds of $360,000. Each non-flow-through unit consists of one common share and one-half of a common share purchase warrant, while flow-through units include one flow-through share and one-half warrant. According to InvestingPro data, while the company maintains more cash than debt on its balance sheet, it faces challenges with cash burn and short-term liquidity, making this financing crucial for operations.
Each whole warrant entitles holders to purchase one common share at $0.15 until September 24, 2027. The company paid $21,000 in finders’ fees and issued 210,000 non-transferable share purchase warrants to arms-length parties who assisted with the offering.
Combined with the first tranche, Standard Uranium has raised $1,320,100 through the issuance of 9,301,250 non-flow-through units and 5,760,000 flow-through units. The company has applied to the TSX Venture Exchange to extend the timeline for completing the private placement, which it aims to bring to $3,500,000 total.
Additionally, Standard Uranium announced a Listed Issuer Financing Exemption offering of up to 20,000,000 flow-through units to purchasers in Canada, except Quebec. Securities under this offering will not be subject to a hold period under Canadian securities laws.
The company stated that proceeds from both offerings will be used for exploration of its Saskatchewan uranium projects and working capital purposes.
Standard Uranium holds interests in over 233,455 acres in the Athabasca Basin, Saskatchewan, including the Davidson River Project and various eastern Athabasca projects.
In other recent news, Standard Uranium Ltd. has successfully closed the first tranche of its non-brokered private placement, securing gross proceeds of $836,100. The company issued 7,751,250 non-flow-through units at $0.08 each, raising $620,100, and 2,160,000 flow-through units at $0.10 each, bringing in $216,000. Each non-flow-through unit consists of one common share and one-half of a common share purchase warrant, while each flow-through unit includes one flow-through common share and one-half warrant. Additionally, Standard Uranium has announced plans for a diamond drill program at its Davidson River project, located in Saskatchewan’s southwest Athabasca Basin region, set to commence in early September 2025. The company aims to raise up to C$3.5 million through another non-brokered private placement, with units priced at C$0.08 and flow-through units at C$0.10. The proceeds from this placement are intended to support exploration activities and provide working capital. These developments indicate active efforts by Standard Uranium to advance its projects and secure necessary funding.
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