13 October 2020
NorZinc Ltd. is pleased to announce that it will conduct a rights offering to raise gross proceeds of up to C$10,000,000, and has received a supporting commitment from its largest shareholder, RCFVI CAD LLC ("RCF"), to backstop C$7,100,000 of the Rights Offering.
The Company will issue rights to existing eligible shareholders at the close of business on the record date of October 21, 2020 (the "Record Date"). Shareholders will receive one transferable right (a "Right") for each common share held. Approximately two and one-half Rights (2.535330987 Rights) will entitle a holder to purchase one (1) common share at a price of C$0.065 per share.
By way of example:
A holder of 1,000 shares will receive 1,000 rights entitling them to subscribe for 394 shares (1,000 / 2.535330987 = 394.43, rounded down to 394 shares) for an aggregate subscription price of C$25.61 (394 x C$0.065 per share). Any calculations resulting in a fractional common share will be rounded down to the nearest whole number as no fractional shares will be issued under the Rights Offering.
Shareholders who exercise all of their Rights will also be entitled to subscribe for additional Rights, if available as a result of unexercised Rights, subject to certain limitations set out in the Company's rights offering circular.
Expiry Time
The Rights will trade on the TSX under the symbol NZC.RT commencing on the first trading day prior to the Record Date and until 12:00 p.m. (Toronto time) on November 18, 2020. The Rights will expire at 2:00 p.m. (Vancouver time) on November 18, 2020 (the "Expiry Time"), after which time unexercised Rights will be void and of no value.