- Lithium-boron supplier ioneer (INR) is conducting a fully underwritten institutional placement, in hopes of raising over $60 million
- The company will issue approximately 158 million ordinary shares to sophisticated, professional and institutional investors at 38 cents each
- Placement proceeds will fund the accelerated development of ioneer’s Rhyolite Ridge lithium-boron project
- The company will announce the outcome of the placement on March 5 and plans to settle the placement shares on March 9
- ioneer remains in a trading halt and last traded at 44 cents per share
Lithium-boron supplier ioneer (INR) is conducting a fully underwritten institutional placement, in hopes of raising over $60 million.
The company will issue approximately 158 million ordinary shares to sophisticated, professional and institutional investors at 38 cents each.
Proceeds from the placement will provide funding to accelerate the development of ioneer’s Rhyolite Ridge lithium-boron project. If the company successfully raises $60 million, approximately $33.1 million will go towards advancing detailed engineering and vendor engineering to construction-ready status.
Roughly $13.6 million will fund discretionary substantive pre-construction activities, with $3.1 million going towards environmental, research and consulting expenses. Finally, the remaining $10.2 million will be used for working capital and general purposes.
According to ioneer’s Managing Director, Bernard Rowe, the company has made significant progress in de-risking the Rhyolite Ridge Project since completing a bankable feasibility study.
Bernard commented on ioneer’s progress and how its placement will move the project forward.
“A number of critical milestones have been achieved, including the submission of the Rhyolite Ridge Plan of Operations, forming a partnership with Caterpillar regarding equipment and services to be used at the Project, and the successful production of battery grade lithium hydroxide at our pilot plant,” he said.
“The equity raising announced today is yet another key milestone for the company and ensures it can accelerate the development of Rhyolite Ridge once the necessary Federal and State permits have been received in the fourth quarter of this year,” he added.
ioneer will announce the outcome of the placement on March 5, at which time the company will also lift the trading halt. The settlement of placement shares is expected to take place on March 9, with those shares beginning normal trading on March 10.
ioneer remains in a trading halt and last traded at 44 cents per share.