PriceSensitive

Lithium Australia (ASX:LIT) more than doubles SPP

Materials
ASX:LIT      MCAP $34.22M
09 September 2020 16:49 (AEST)
Lithium Australia (ASX:LIT) - Managing Director, Adrian Griffin

Source: ABC

Lithium Australia’s (LIT) share purchase plan (SPP) has raised $4.5 million – more than double the original $2 million target.

On August 12, the energy metal specialist announced it had received firm commitments to undertake a $4 million placement.

The money was raised through the issued a more than 75.4 million fully paid shares to institutional, sophisticated and professional investors at a price of 5.3 cents per share.

Lithium Australia also announced that it would be undertaking a share purchase plan to raise an additional $2 million.

Eligible shareholders were able to subscribe for up to $30,000 worth of shares without sustaining any brokerage or transaction costs.

Shares will now be issued on September 10 and begin trading on the ASX on September 11.

Lithium Australia will use the money to enhance its marketing and collection capabilities and commercialise its Envirostream battery recycling business.

“We are very pleased that our shareholders backed the company’s vision of sustainability the energy metals space,” Managing Director Adrian Griffin said.

“The additional funds raised will allow all debt to be retired, improving the company’s balance sheet and accelerating the expansion of Envirostream, our battery recycling subsidiary,” he added.

Lithium Australia has ended the day 3.64 per cent in the red with shares trading for 5.3 cents each in a $37.86 million market cap.

Related News