- Battery metals explorer Jervois Mining (JRV) has tapped investors for a neat $45 million through an oversubscribed share placement
- Jervois raised the funds by placing new shares at 30.5 cents each — a slim 1.2 per cent discount to the company’s 10-day volume-weight average price
- Major shareholder AustralianSuper took up $18.5 million as part of the placement, while Jervois directors and senior management took up a combined $1.75 million
- The company said the new funds will go towards long lead item orders and engineering and ongoing site costs for its Idaho Cobalt Operations (ICO)
- On top of this, some of the new cash will be used for operating activities relating to the recent São Miguel Paulista nickel and cobalt refinery purchase
- Jervois is down 4.62 per cent this afternoon, currently worth 31 cents each.
Battery metals explorer Jervois Mining (JRV) has tapped investors for a neat $45 million through an oversubscribed share placement.
Jervois raised the funds by placing new shares at 30.5 cents each, which is a slim 1.2 per cent discount to the company’s 10-day volume-weight average price.
Major shareholder AustralianSuper cornerstoned the placement with an $18.5 million investment. Meanwhile, Jervois directors and senior management subscribed for a combined $1.75 million worth of shares.
All up, roughly 147.5 million new shares will be issued under this week’s placement. Of these, roughly 129 will be placed and settle by October 27, with the rest to be placed subject to shareholder approval at Jervois’ November 30 Annual General Meeting (AGM).
The company said the strong demand for the placement comes after the recent release of a bankable feasibility study (BFS) for the company’s Idaho Cobalt Operations (ICO) and the $31 million purchase of the São Miguel Paulista nickel and cobalt refinery in late-September.
In light of this, Jervois said the fresh influx of cash will go towards long lead item orders and engineering and ongoing site costs for ICO as well as activities relating to the São Miguel Paulista buyout.
Moreover, the bolstered balance sheet gives the company more flexibility in terms of debt, off-take, and partnership discussions for its entire asset base.
The company said discussions for nickel and cobalt intermediate suppliers into São Miguel Paulista are commencing, with a restart feasibility study for the project planned to begin before the end of the year.
Jervois is down 4.62 per cent this afternoon, currently worth 31 cents each. The company has a $199.46 million market cap.