Canada Growth Fund Inc. announces that it has entered into a definitive agreement with respect to a ~C$35.6 million private placement with Nouveau Monde Graphite Inc., a Québec-based integrated graphite mining and processing company. With operations in Saint-Michel-des-Saints and Bécancour, NMG is developing an integrated value chain to transform natural graphite into active anode material, a critical component of lithium-ion batteries. NMG’s Phase-2 Matawinie Mine and Bécancour Battery Material Plant represent an integrated critical minerals opportunity in Canada and will support North America’s efforts to build more resilient supply chains to the benefit of domestic economies.In connection with the investment, CGF will subscribe to ~19.8 million common shares of NMG at a share price of ~C$1.80/share. In addition, CGF will receive an equal number of common share purchase warrants, which can be exercised upon the occurrence of a positive Final Investment Decision to acquire additional common shares of NMG at a price of US$2.38 per share. CGF’s investment will be alongside an investment by Investissement Québec under the same terms as CGF’s investment, for aggregate proceeds to NMG of ~C$71million.CGF has a mandate to capitalize on Canada’s abundance of natural resources and strengthen critical supply chains to support the country’s long-term economic and environmental prosperity. Critical minerals, such as graphite, are used in the development of many technologies that are essential to the global energy transition.“Investors and policymakers alike recognize the strategic importance of securing a stable supply of critical minerals, which are essential for high-tech industries, from defence to renewable energy and batteries,” said Patrick Charbonneau, President and Chief Executive Officer of Canada Growth Fund Investment Management Inc., the exclusive manager of CGF. “CGF is pleased to invest in NMG and looks forward to supporting the company in its journey to create the largest fully integrated natural graphite production facility in North America.”“As a project developer, NMG requires credible financial partners to share risks and unlock value in this strategic and geopolitically important sector,” explained Eric Desaulniers, Founder, President and CEO of NMG. “This investment by Canada Growth Fund and Investissement Québec will enable our team to make tangible advancements and place strategic orders in preparation for our project execution. We are committed to delivering high-performing and reliable active anode materials to the North American battery and electric vehicle (“EV”) markets, contributing to a local, sustainable and reliable supply chain.” (ICE TORONTO)

Fonte notizia: https://www.canadianmanufacturing.com/