- Activated carbon manufacturer Carbonxt Group (CG1) has entered back-to-back trading halts as it gets ready to announce a capital raise
- Shareholders will have to wait until November 9 to find out how much Carbonxt is planning to raise unless it announces the details early
- The company ended the September quarter with $426,000 worth of cash in the bank, having burnt through $710,000
- CG1 revealed in its recent quarterly report that it expects its cash flow to improve over the December quarter, amid a spike in sales
- Carbonxt shares last traded for 17.5 cents each on November 2
Carbonxt Group (CG1) has entered back-to-back trading halts as it gets ready to announce a capital raising.
Shareholders will have to wait until Monday, November 9 to find out how much the activated carbon manufacturer plans to raise unless it announces the details early.
The equity raise comes after the company recently released its September quarterly report, setting out its financial results for the period.
Carbonxt revealed it ended Q1 FY21 with $426,000 worth of cash in the bank, having burnt through $710,000.
It also received $3.46 million in customer receipts over the July to September period and spent $1.4 million on product manufacturing and operating costs.
However, the company noted its current burnt rate and cash on hand only left it with 0.6 quarters of funding.
CG1 explained it expects its cash flow to improve over the December quarter “due to the increased sales announced.”
It’s already been handed an additional $300,000 in customer receipts since the quarter end.
Before today’s trading halt was announced, Carbonxt Group’s shares were trading for 17.5 cents each on November 2.