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Nano One Materials Corp T.NANO

Alternate Symbol(s):  NNOMF

Nano One Materials Corp. is a clean technology company with a patented, scalable and low-carbon intensity industrial process for the low-cost production of high-performance lithium-ion battery cathode materials. It specializes in the production of low-cost, high-performance cathode active materials for lithium-ion batteries. Its technology is applicable to electric vehicles, energy storage, and consumer electronics, reducing costs and carbon intensity while improving environmental impact. Its patented One-Pot process is engineered to make cathode materials directly from non-sulfate forms of battery metals. Its Metal to Cathode Active Material (M2CAM) Technology enables sulfate-free metal powder inputs which eliminates 100% of wasteful sodium sulfate by-products while simplifying manufacturing. The One-Pot process simplifies production and enables its M2CAM technology. Its simplified One-Pot process enables cathodes to form simultaneously with their protective coating at the nano level.


TSX:NANO - Post by User

Post by Lawisfunon Sep 14, 2024 5:56pm
164 Views
Post# 36224064

Nano One - 220 MM shares outstanding in 2025

Nano One - 220 MM shares outstanding in 2025

Seems scary right? 220 million shares outstanding in 2025.  Implying all current shares are diluted by doubling the outstanding share count.  Possibly at these low current share prices.  


Many people fear this as a worst case scenario.


But just think what having ~$80MM CAD cash today would mean.  That's if they did at capital raise of 110 MM shares at today's price of $0.71 CAD.


We would have a huge runway to keep the doors open and be able to participate in the JV as a minority owner/operator. And we would ensure the first license deal with Nano from the JV plant.  And that's an absolute worst case scenario?


So buying today at $0.71 you should accept a worst case scenario that shares outstanding double in the near term.  Essentially accept that any share you buy today have an effective strike price of ~$1.40 CAD. 


Admitedly, this is not a good scenario for existing share holders. But dilution is a real reality today with our current cash flow situation.  And something has to give in order to get us into the game (i.e., to become a partner with SMM on a 25,000 TPA LFP facility in Ontario and get Nano a first licensing deal).


If this doubling of our share count in a dilutive capital raise at today's price truly got us into a plant with SMM and showed the government we are serious, it would be worth the dilution. In fact, the government would be putting up about the same amount or more as a grant so in fact the outcome to shareholders is not as bad as it might seem. 


And this is a worst case dilution scenario and to me it's not all that bad all things considered.  And definitely it's not that bad for people buying today at $0.70. 


good luck to all the longs. 

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