Release

Yellow Cake plc (AIM: YCA), founded and established by Bacchus Capital to be a specialist company operating in the uranium sector with a view to holding physical uranium for the long-term, is pleased to announce that 23,947,009 new Ordinary Shares (the “Placing Shares”) have been placed with existing and new institutional investors at a price of £2.50 per share (the “Placing Price”) via an accelerated bookbuild (the “Placing”). Concurrently with the Placing, the Company made an offer via the PrimaryBid platform of 1,052,991 new ordinary shares in the Company (the “Retail Shares”) at the Placing Price (the “Retail Offer”), to provide certain retail investors with an opportunity to participate in the Placing (the Placing and Retail Offer together the “Fundraise”). 

The Fundraise was conducted utilising the Company’s existing share authorities. 

Together, the Placing and the Retail Offer in aggregate comprise 25,000,000 new Ordinary Shares, which will raise gross proceeds of approximately £62.5 million (approximately US$88.1 million). The Placing Shares and the Retail Shares being issued together represent approximately 19.4% of the existing issued ordinary share capital (excluding treasury shares) of the Company prior to the Placing and the Retail Offer. 

Andre Liebenberg, Chief Executive Office of Yellow Cake, commented: 

“We are very pleased with the success of this fund raise which received significant demand from both existing shareholders and new investors. Our strategy is to buy and hold physical uranium for the long term, and with the continued support of our investors, we have been able to significantly increase our overall holdings in 2021 from 9 million pounds to what will soon be over 15 million pounds. The sizeable demand for this fundraise once again highlights the positive sentiment behind uranium, as the combination of supply demand characteristics and the growing appreciation of the role of nuclear in our clean energy future make this an opportune time to accelerate our strategy.” 

Related Party Transaction 

MMCAP International Inc. SPC (“MMCap”), a substantial shareholder in the Company as defined in the AIM Rules for Companies (and therefore a related party of the Company for the purposes of the AIM Rules) has subscribed for 4,000,000 Placing Shares. The participation of MMCap in the Placing constitutes a related party transaction under Rule 13 of the AIM Rules. 

The Directors consider, having consulted with the Company’s nominated adviser, Canaccord Genuity, that MMCap’s participation in the Placing is fair and reasonable insofar as the Company’s shareholders are concerned. 

Placing

Application has been made for the Placing Shares and the Retail Shares to be admitted to trading on the AIM market of the London Stock Exchange plc (“AIM”) (“Admission”). It is expected that Admission will become effective at commencement of trading on 21 June 2021 and settlement is expected to take place on the same date on a T+2 basis. 

The Placing is conditional upon, inter alia, Admission becoming effective and the Placing Agreement not being terminated in accordance with its terms. 

Following Admission of all of the Placing Shares and the Retail Shares: (a) the total number of shares of the Company in issue will be 157,740,730 of which 4,156,385 are held in treasury; and (b) the total number of voting shares in the Company will be 153,584,345. 

Other than where defined, capitalised terms used in this announcement have the meanings given to them in the Announcement released by the Company at 4.35 p.m. yesterday. 

Cantor Fitzgerald Canada Corporation (“Cantor”), Canaccord Genuity Limited (“Canaccord”) and Joh. Berenberg, Gossler & Co. KG, London Branch (“Berenberg”), acted as Joint Bookrunners (Cantor, Canaccord and Berenberg, together being the “Joint Bookrunners”). Bacchus Capital Advisers acted as Financial Adviser.