Vulcan Energy (ASX:VUL) to raise $220m for renewable energy and lithium development strategy

• Vulcan Energy (VUL) plans to raise $220 million through a placement and share purchase plan (SPP) to expand its renewable energy and lithium development strategy
• The placement will see around 14.8 million shares issued at an offer price of $13.50 per share to raise $200 million
• Under the SPP, eligible shareholders will be able to purchase up to $30,000 worth of shares at the same price as the placement for further $20 million
• While the capital raise is taking place, Vulcan has entered a trading halt, company shares last traded at $15.90 per share

Vulcan Energy (VUL) is planning to raise $220 million to expand its renewable
energy and lithium development strategy.

The company will raise the money through a placement and share purchase plan (SPP).

The placement will see around 14.8 million shares at an offer price of $13.50 per share — a 15.1 per cent discount to the last closing price — to raise $200 million.

Under the SPP, eligible shareholders will be able to purchase up to $30,000 worth of shares at the same price as the placement for further $20 million.

Funding from the capital raise will support Vulcan’s goal of becoming the world’s first zero-carbon lithium company. Phase one production is targeted for 2024.

Additionally, certain company directors are planning to participate in an additional $1 million placement. However, this is subject to shareholder approval.

While the capital raise is taking place, Vulcan has entered a trading halt.

On the market, company shares last traded at $15.90 per share.