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- Anson Resources (ASN) has launched a share purchase plan to raise $2 million to advance its Paradox Brine Project in Utah
- If the full $2 million is not raised from shareholders, then up to $1 million can be underwritten by Pendragon Capital
- Once the share purchase plan is complete, Anson will offer shares to professional and sophisticated investors to raise a further $1 million
- This will be known as a top-up placement, and eligible shareholders will be able to purchase between $1000 and $30,000 worth of shares
- Anson has dropped 16.7 per cent on the market and shares are currently trading for three cents each
Anson Resources (ASN) has launched a share purchase plan (SPP) to raise $2 million to advance its Paradox Brine Project in Utah.
If the full $2 million is not raised from shareholders, then up to $1 million can be underwritten by Pendragon Capital.
If there’s a need to partially underwrite the share purchase plan, Anson will pay Pendragon an underwriting fee equal to six per cent of the total underwritten amount.
The company will also issue five million shares to Pendragon with an exercise price equal to three times the SPP issue price. However, this is only if Pendragon has to underwrite more than $750,000. These shares must be issued on or before June 30 2025.
The exact price of the shares isn’t known yet, but they will have a 20 per cent discount to the five-day volume-weighted average price.
Once the share purchase plan is complete, Anson will offer shares to professional and sophisticated investors to raise a further $1 million.
This will be known as a top-up placement, and shares will be priced the same as the share purchase plan.
Eligible shareholders will be able to purchase between $1000 and $30,000 worth of shares without incurring any brokerage or transaction costs.
The share purchase plan opens today (June 16) and closes on July 6. Shares will then be issued on July 15 and can begin trading on the ASX on July 17.
As stated before the money will be used to advance Anson’s Paradox Brine Project and it will primarily be used to advance it towards a pre-feasibility study, environmental studies, permitting, exploration, and general working capital.
Anson has dropped 16.7 per cent on the market and shares are trading for three cents each at 11:06 am AEST.
