Join our daily newsletter At The Bell to receive exclusive market insights
- Queensland Pacific Metals (QPM) has received firm commitments to raise $15 million via a share placement
- All up, 187.5 million shares will be issued to institutional and sophisticated investors at 8 cents — a 17.5 per cent discount to the 15-day volume-weighted average price
- QPM also revealed it would undertake a share purchase plan (SPP) to raise an additional $3 million
- Eligible shareholders will be able to apply for up to $30,000 worth of shares, which will also be issued at 8 cents
- QPM will use the money from both the placement and SPP to complete a definitive feasibility study and regulatory approvals for the Townsville Energy Chemicals Hub Project
- QPM is down 8.51 per cent on the market this morning and shares are trading at 8.6 cents
Queensland Pacific Metals (QPM) has received firm commitments to raise $15 million via a share placement.
The company entered a trading halt on March 18 but did not disclose how much it intended to raise or what the funds would be used for.
To raise the funds, 187.5 million fully paid ordinary shares will be issued to institutional and sophisticated investors at 8 cents.
That price represents a 17.5 per cent discount to the 15-day volume-weighted average price.
Shares are expected to settle on March 25 and be allocated on March 26.
QPM also revealed it would undertake a share purchase plan (SPP) to raise an additional $3 million.
Eligible shareholders will be able to apply for up to $30,000 worth of shares, which will also be issued at 8 cents.
While the SPP will be capped at $3 million, QPM has the right to close it early and scale back applications.
The plan will open on March 31, close on April 20 and shares will be allocated on April 23.
QPM will use the money from both the placement and SPP to complete a definitive feasibility study (DFS) and regulatory approvals for the Townsville Energy Chemicals Hub (TECH) Project.
“We are delighted to raise sufficient funding to complete the DFS for the TECH project. This allows the QPM team to focus on delivering this key study that will underpin the viability of the project and also allow us to procure financing for the construction,” CEO Stephen Grocott commented.
QPM is down 8.51 per cent on the market this morning and shares are trading at 8.6 cents at 10:34 am AEDT.
