Parkway (ASX:PWN) raises $5.25M to fund growth initiatives

• Wastewater tech company Parkway Minerals (PWN) has successfully raised just over $5 million to fund growth initiatives
• The company issued over 291 million shares for 1.8 cents each, a 2.23 per cent discount to the 30-day volume-weighted average price
• Under the placement, shares will be issued with free attaching unlisted options on a one-for-two basis at an exercise price of 3 cents each
• With the funds from the placement, Parkway is expecting to have a cash balance of around $8.2 million
• The strong funding position will allow the company to speed up a number of growth initiatives, such as the establishment of products and services division
• Parkway is down 8.33 per cent on the market this morning and is trading at 2.2 cents per share

Parkway Minerals (PWN) has successfully raised $5.25 million to support its core business priorities.

The company issued over 291 million shares for 1.8 cents per share to sophisticated and professional investors. The share price is a 2.23 per cent discount to the 30-day volume-weighted average price.

With the funds from the placement, Parkway is expecting to have a cash balance of around $8.20 million. The strong funding position will allow the company to speed up a number of growth initiatives, such as the establishment of a products and services division.

Under the placement, shares will be issued with free attaching unlisted options on a one-for-two basis, with an exercise price of 3 cents each.

Earlier this month, the wastewater technology company reported a number of wins in the December quarter.

This included a new processing advantage to the iBC technology and as a result can explore opportunities from the global oil and gas industry.

Its iBC technology removes impurities from waste brine streams and converts sodium carbonates and bicarbonates found in coal seam gas brines into more soluble sodium hydroxide.

“We remain absolutely optimistic, that our vision of utilising innovative technologies to solve some of the most difficult water-related challenges facing the industry, is not only a worthy cause but also an enormous business opportunity, which we believe we are well-placed to capture a material
share of, in time,” Managing Director Bahay Ozcakmak said.

“This transformational capital raising allows us to not only 1) advance our core
technology business, 2) develop and/or acquire related capabilities, and 3) strategically bolt-on businesses that make sense; but also, 4) assists us to demonstrate to our partners that we have the balance sheet to stand behind the application of our technology-based solutions, which we continue to explore with leading major global companies,” he added.

Parkway is down 8.33 per cent on the market this morning and is trading at 2.2 cents per share at 11:55 am AEDT.