Vancouver, British Columbia and Johannesburg, South Africa–(Newsfile Corp. – February 14, 2022) – Platinum Group Metals Ltd. (TSX: PTM) (NYSE American: PLG) (“Platinum Group” or the “Company“) reports the closing on February 11, 2022 of a non-brokered private placement of common shares at price of US$1.695 per common share as previously announced on January 25, 2022. An aggregate of 3,539,823 common shares were subscribed for and issued to existing major beneficial shareholder, Hosken Consolidated Investments Limited (“HCI“), resulting in gross proceeds to the Company of US$6.0 million (the “Private Placement“).

On February 11, 2022 the Company used a portion of the net proceeds of the Private Placement to pay all accrued interest and repay the US$3.0 million principal balance of a senior secured facility with Sprott Private Resource Lending II (Collector), LP and the other lenders party thereto (the “2019 Sprott Facility“). The balance of proceeds from the Private Placement will be used by the Company for general corporate and working capital purposes.

After the repayment of the 2019 Sprott Facility principal balance due, the Company is now debt free. Importantly, the Company’s pledge of its South African assets as security against the 2019 Sprott Facility has been fully released.

Pricing of the Private Placement was set to be consistent with the equity consideration paid in Common Shares of the Company for the Company’s recent purchase of its outstanding 6 7/8% Convertible Senior Subordinated Notes (the “Notes“). The Private Placement allowed HCI to return to a near 26% interest in the Company, as it held prior to the purchase and cancellation of the Notes.

Securities purchased pursuant to the Private Placement may not be traded for a period of four months plus one day from the closing of the Private Placement on February 11, 2022. The securities described herein have not been, and will not be, registered under the United States Securities Act of 1933 (the “Act“), as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from the registration requirements of such Act.

HCI is a “related party” of the Company (as defined by Multilateral Instrument 61-101 – Protection of Minority Security holders in Special Transactions (“MI 61-101“)) and the Company relied on the exemptions from both the formal valuation requirement and the minority shareholder approval requirement under sections 5.5(a) and 5.7(1)(a), respectively, of MI 61-101, on the basis that neither the fair market value of the subject matter of, nor the fair market value of the consideration for, the transaction, insofar as it involves HCI, exceeds 25 per cent of the Company’s market capitalization calculated in accordance with MI 61-101. The Company did not file a material change report more than 21 days before the expected closing date of the above transactions as it has negotiated the above transactions on an expedited basis.

The Company relied on the exemption for “Eligible Interlisted Issuers” under Section 602.1 of the TSX Company Manual in connection with the listing of the common shares on the Toronto Stock Exchange (“TSX“) under the Private Placement.

About Platinum Group Metals Ltd. and Waterberg Project

Platinum Group Metals Ltd. is the operator of the Waterberg Project, a bulk underground palladium and platinum deposit located in South Africa. The Waterberg Project was discovered by Platinum Group and is being jointly developed with Impala Platinum Holdings Ltd., Mnombo Wethu Consultants (Pty) Ltd., Japan Oil, Gas and Metals National Corporation and Hanwa Co. Ltd.

On behalf of the Board of
Platinum Group Metals Ltd.

Frank R. Hallam
President and CEO