logo-loader
viewEcoGraf Ltd

EcoGraf raises $1.6 million to progress development of new Australian battery graphite business

The company has received strong support from existing shareholders and encouraging participation by new institutional investors.

EcoGraf Ltd - EcoGraf raises $1.6 million progressing development of new Australian battery graphite business
EcoGraf is becoming a major supplier of eco-friendly graphite to a rapid growing battery and electric vehicles sector

EcoGraf Ltd (ASX:EGR) has received firm commitments from sophisticated, professional and institutional investors to raise $1.6 million through a placement of 24.6 million shares at an issue price of 6.5 cents per share.

The placement was conducted without a prospectus with the shares being offered and subscribed for by investors where disclosure is not required.

Shares will be issued on May 28 and represent a 7% discount to the 5-day volume-weighted average price of EcoGraf’s shares prior to the placement.

Funds to develop graphite facility 

Funds will be applied towards the development of a state-of-the-art EcoGraf™ battery graphite facility in Kwinana, Western Australia.

Specifically, funds will assist to:

  • Finalise offtake arrangements with priority customers in Europe and Asia;
  • Prepare marketing and technical reports to support government funding processes;
  • Secure lender approvals for the proposed US$35 million debt financing;
  • Pre-development technical programs and submission of government development approvals; and
  • Complete engineering, procurement, construction and operations planning arrangements

Share purchase plan

EcoGraf will also provide eligible shareholders with the opportunity to participate in a share purchase plan (SPP) at the same price of 6.5 cents per share.

The company intends to raise up to $500,000 under the SPP, which will not be underwritten.

Each eligible shareholder will be entitled to apply for up to $30,000 worth of shares.

Quick facts: EcoGraf Ltd

Price: 0.072 AUD

ASX:EGR
Market: ASX
Market Cap: $22.99 m
Follow

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of EcoGraf Ltd named herein, including the promotion by the Company of EcoGraf Ltd in any Content on the Site, the Company receives from said...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Inspired Energy PLC has remained profitable and cash generative during lockdown

Inspired Energy PLC's (LON:INSE) Mark Dickinson tells Proactive London's Andrew Scott he's pleased with how recent trading has held up and that the business is well positioned to work its way through the pandemic thanks to a strong balance sheet. He says he's been encouraged by the performance...

1 day, 16 hours ago

2 min read