Lithium Universe shares jump on below-expected SPP result

Lithium Universe Ltd (ASX: LU7) has seen its shares jump 23.8 percent on completion of a share purchase plan (SPP) which raised $463,500, far below the anticipated goal of $3 million.

The SPP closed on April 10 after 31 days with applications being made for a total of 23,175,000 shares, which were to be issued at $0.02 – this was a 9.09 percent discount to the closing price of $0.022 per share on March 12, as well as being a 9.09 percent discount to the 5-day volume weighted average price (VWAP) prior to the announcement.

The company said April 17 would be the date for both issue of the shares and lodgement of Appendix 2A in relation to the SPP.

Lithium Universe – chaired by Iggy Tan – previously updated the market with its plan to bridge the gap in North American lithium production through development of its Québec Lithium Processing Hub (QLPH), which utilises technology developed at Lithium Universe’s Jiangsu Lithium Carbonate facility in Western Australia.

The hub includes both a multi-purpose independent concentrator which can handle one million tonnes per year and an independent battery-grade lithium carbonate refinery managing up to 16,000 tonnes per year.

Lithium Universe is trading at 2.6c.