- Minbos Resources (MNB) will raise $25 million via a placement after receiving firm commitments from institutional, sophisticated and professional investors
- The placement will issue roughly 227 million new shares at an issue price of 11 cents per share and will also include participation by company directors and the management team
- Proceeds from the placement will be used on projects that Minbos will collaborate on with its new partners
- Shares in Minbos hold steady at 13.5 cents as of 3:53 pm AEST
Minbos Resources (MNB) will raise $25 million via a placement after receiving firm commitments from institutional, sophisticated and professional investors.
The placement will issue approximately 227 million new shares at an issue price of 11 cents per share and will also include participation by Minbos directors and the management team.
The issue price represented a 18.5 per cent discount to the last traded price and will issue shares in two tranches with the second scheduled for August.
Minbos’ board and management participation will raise up to $845,000 during the placement.
A syndicate of investors led by Liang Feng, Chairman of the US$18 billion (A$26.7 billion) Shanghai Putailai New Energy, one of the world’s largest battery anode producer will subscribe for $15 million.
The company said the syndicate approached the company looking to partner in developing some of the “most exciting” green energy projects globally.
Commenting on the placement, CEO Lindsay Reed said the company is very pleased with the strong demand but is more excited to work with its new partners on ferro phosphate and lithium ferro phosphate for batteries and large-scale green ammonia projects.
Proceeds of the placement will be used on projects that Minbos will collaborate on with its new partners.
“It will see us deliver our definitive feasibility study and commence construction for the Cabinda Phosphate Fertilizer Plant and undertake initial technical studies with our green ammonia technical partner, Stamicarbon, for the Capanda Green Ammonia Project,” Mr Reed elaborated.
Shares in Minbos held steady at 13.5 cents as of 3:53 pm AEST.