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Silex Systems (ASX:SLX) taps investors for $120m for laser enrichment tech

ASX News, Technology
ASX:SLX      MCAP $1.372B
27 February 2023 12:22 (AEDT)

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Silex Systems (SLX) has successfully raised $120 million through a share placement to accelerate the commercialisation of its SILEX laser enrichment technology.

Silex will issue new shares at $4.05 each for the placement, which the company said received “strong support” from local and international investors. This offer price represents a 21.1 per cent discount on the company’s last closing price of $5.13.

The SILEX laser enrichment technology is a laser isotope separation product that the company, along with its joint venture partners, plans to deploy in the USA, with plans for a “full-scale pilot demonstration in the mid-2020s”.

The company said it would direct the new funds towards significant strategic market opportunities in uranium production and enrichment (nuclear power), Zero-Spin Silicon (silicon quantum computing), and medical isotopes (nuclear medicine cancer diagnostics and treatments).

Funds will also go towards working capital and general corporate purposes.

“We are delighted with the very strong support for the placement from a broad range of high-quality, domestic and international funds,” Silex Managing Director Michael Goldsworthy said.

“This is an exciting and transformational juncture in our company’s development.

“This capital underpins a highly value-accretive acceleration in our various technology commercialisation activities, at a time of increasing impetus to improve the security of the global nuclear fuel supply chain and to support a smooth transition toward decarbonisation.”

The new shares are expected to be issued on March 7.

Silex is now planning to raise an additional $20 million through a share purchase plan (SPP) at the same price as the placement, opening on March 13.

Eligible shareholders will be able to subscribe for up to $30,000 worth of new shares before the SPP closes on March 30.

SLX shares dropped 23.68 per cent to $3.92 at midday AEDT.

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