- Novonix (NVX) is looking to raise $146 million through a placement and share purchase plan (SPP)
- Under the $115 million placement, the company will issue 39.7 million new shares at $2.90 apiece
- Additionally, the company is aiming to raise another $15 million in an SPP
- Four directors of the company are also aiming to purchase shares, totalling $16.45 million
- This morning, Novonix entered a trading halt and last traded at $3.29 per share
Novonix (NVX) is looking to raise $146 million through a placement and share purchase plan (SPP).
Under the $115 million placement, the company will issue 39.7 million new shares at $2.90 each, representing an 11.9 discount on its closing price on February 24.
Additionally, the company is aiming to raise another $15 million in a SPP, at the same price as the placement.
Four directors of the company are also expected to purchase shares, totalling $16.45 million. However, this will need shareholder approval.
Funds from the raise will be used to expand the capex and working capital and scale the company’s anode materials production to 10,000 tonnes per annum. This will include a new manufacturing site expansion, along with infrastructure and equipment being commissioned over the next two years.
Chairman Tony Bellas said this is an exciting time for Novonix as it
begins to scale production of high-performance anode materials for lithium-ion batteries to meet the demands of the electric vehicle (EV) and energy storage system (ESS) markets in North America.
“The company remains well-positioned as the only qualified producer in North America of high-grade anode material suitable for lithium-ion batteries for EVs and ESS,” he said.
“Importantly, the company is continuing to strengthen its position with key relationships across the industry such as Harper International to develop next-generation furnace technology systems,” he added.
Last week, Novonix announced a partnership with Emera Technologies to develop and manufacture ESS.
This morning, Novonix entered a trading halt. Company shares will be paused for trading until Monday, March 1.
Novonix last traded at $3.29 per share on February 24.