Lithium Universe (ASX:LU7) has announced its receipt of a confirmed $3.64M to advance its North American lithium project based in Canada.
The company has received binding subscription agreements which will be used to advance the Quebec Lithium Processing Hub (QLPH) strategy.
The raising was conducted in two stages: first, tranche 1 contained 95M shares at 2cps raising $1.9M.
The second stage saw 87.2M shares at 2cps raise a further $1.74M. There were also 1:2 attaching options at a 3cps exercise price with an expiry in 18 months; LU7 intends to list the options.
Options will be granted to those who participated in the recent SPP.
“We are delighted with the outcome of this capital raising in a very difficult market,” LU7 chief Iggy Tan said.
“[This] demonstrates strong support by sophisticated investors for our QLPH business strategy.”
For brokers who brought in investors, a fee of 6% will be paid before funds ultimately go towards a DFS for two key pieces of QLPH machinery, as well as $0.4M used on exploration in Canada and Australia.
LU7 last traded at 3.3cps.