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SciDev set to raise $4.16M in share placement

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ASX:SDV      MCAP $68.32M
12 September 2019 23:44 (AEST)

SciDev has received binding commitments from local institutional and sophisticated investors to successfully raise $4.16 million.

The placement will issue approximately 16 million new fully paid ordinary shares at an issue price of $0.26 each. This price represents an 8.8 per cent discount from the last trading price of $0.285.

Settlement of the placement is expected to occur on September 19, with the issue and trading of the new shares expected to begin on September 20.

The funds raised will be used to increase inventory at SciDev’s new contract with Iluka, continue the development of OptiFlox and MaxiFlox technologies, and increase general working capital.

OptiFlox is SciDev’s range of polymers (large molecules composed of repeated subunits) which are specifically designed for the treatment of process water and wastewater in the mining and minerals industry.

It is available in both liquid and powder form and has a wide range of uses. Its main uses are the clarification of mine water and surface water runoff for multiple reuses, solid-liquid separation, and slurry dewatering.

MaxiFlox is designed for the treatment of wastewater across industrial sectors such as food and beverage, paint manufacturing, power generation, oil and gas production, and paper and cardboard manufacturing.

“SciDev is delighted with the strong response from the institutional investment community. This milestone is a testament to the hard work from the team,” CEO Lewis Utting said.

“Funds received from the placement will help the company execute recent contract wins and deliver on our growing number of business development opportunities,” he said.

SciDev is one of the top gainers this morning, up 28.1 per cent and trading for 36.5 cents per share at 12:49 pm AEST. Its market cap is valued at $30.57 million.

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