Join our daily newsletter At The Bell to receive exclusive market insights
- Agrimin (AMN) has secured commitments for a $5 million placement and is planning to undertake a $2 million share purchase plan
- The $5 million was raised through the issue of approximately 11.11 million ordinary shares to institutional and sophisticated investors at 45 cents
- This price is a 14 per cent discount to the five-day volume weighted average price
- Once the placement is completed, Agrimin will undertake a share purchase plan with aims to raise up to $2 million
- Eligible shareholders will be able to apply for up to $30,000 worth of shares without incurring any brokerage or transaction costs
- Agrimin will use the money to fund project financing and off-take activities and front-end engineering design work
- Agrimin has ended the day 12.4 per cent in the red with shares trading at 46 cents
Agrimin (AMN) has secured commitments for a $5 million placement and is planning to undertake a $2 million share purchase plan.
The WA-based minerals company entered a trading halt on December 9 but did not announce how much it would be raising or what the funds would be used for.
Placement
The $5 million was raised through the issue of approximately 11.11 million ordinary shares to institutional and sophisticated investors at 45 cents.
This price represents a 14.3 per cent discount to Agrimin’s last share price of 52.5 cents and a 14 per cent discount to the five-day volume-weighted average price.
Euroz Hartleys Securities and Bell Potter Securities acted as Joint Lead Managers.
Shares are expected to be issued on December 17.
Share purchase plan
Once the placement is completed, Agrimin will undertake a share purchase plan with aims to raise up to $2 million.
Eligible shareholders will be able to apply for up to $30,000 worth of shares without incurring any brokerage or transaction costs.
At this stage, the plan will be capped at $2 million, however, Agrimin has the right to change it at its discretion.
The plan is set to open on December 17 and close on January 25. Shares will issued on February 1 and begin trading on the ASX on February 2.
Agrimin will use the money from both the placement and share purchase plan to fund project financing and off-take activities and front-end engineering design work.
Agrimin has ended the day 12.4 per cent in the red with shares trading at 46 cents in a $90.47 million market cap.
