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EcoGraf (ASX:EGR) completes $2.19M share purchase plan

Materials
ASX:EGR      MCAP $65.83M
24 June 2020 11:45 (AEST)
EcoGraf (ASX:EGR) - Managing Director, Andrew Spinks

Source: Business News

Graphite company EcoGraf (EGR) has completed its share purchase plan and raised $2.19 million.

The company has now raised a total of $3.79 million, with the remaining $1.6 million raised from an already-completed placement.

EcoGraf will use the money from both the share purchase plan and placement to develop its state-of-the-art battery graphite facility in Western Australia.

The facility will be the first of its kind outside of China and will provide a new supply of high-quality, purified spherical graphite for the lithium-ion battery market.

During the process, flake graphite is taken straight from the source and is then shaped, screened, bagged, dried, and purified.

The final product will then be exported to North America, Asia, and Europe.

The money will also go towards securing Tanzanian Government approvals for the Epanko US$60 million (roughly A$86.3 million) debt financing proposal with KfW IPEX-Bank.

The aim of this is to simplify and fast-track the debt financing process in Tanzania.

Shares are expected to be issued on June 26.

EcoGraf is down 4.23 per cent and shares are trading for 6.8 cents each at 11:07 am AEST.

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