Niocorp Developments Ltd (NB)

[LCP77]

Wasn’t just the spac fee. Tho that was great for them.

8,600,000 shares of Elk Creek Resourse Corp for the cost of….drum roll..$25,000. That’s $25k. That is 23% ownership of the sole asset. These are convertible into Niocorp 1 for 1 for a liquidity event based on some relatively modest milestones. NB shareholders have 77% of the asset. I think NB has an accumulated deficit of about $140,000,000. So $140,000,000 for 77% and $25,000 for 23%. Hard to believe.

Not just that. There is more. Looks like GXII peeps have 10,000,000 warrants in Niocorp at $11.50 exercise price. Those seem to be free! Dreams of high prices will have huge walls of dillution to go through. What a deal! Nice that it was overwhelmingly approved by shareholders. Very sharp.

Oh ya. Plus you have to finance.

https://www.sec.gov/Archives/edgar/data/1826669/000121390021010979/fs12021_gxacqcorp2.htm