- Xantippe Resources (XTC) launches a capital raise comprising a $12 million institutional placement and an $8 million share purchase plan (SPP)
- All new shares will be issued at 0.6 cents, and investors will also receive a one-for-two attaching option exercisable at 1.5 cents and expiring in June 2024
- Xantippe says the funding boost will facilitate an expansion of exploration work across its tenements in Argentina and at the Southern Cross project in Western Australia
- Shares in Xantippe are down 7.69 per cent and trading at 0.6 cents at 12:13 pm AEDT
Xantippe Resources (XTC) has tapped investors for $20 million to expand exploration work across its lithium tenements in Argentina and its Southern Cross project in WA.
The company has received firm commitments to raise $12 million via an institutional and professional placement. Xantippe will issue two billion new shares at 0.6 cents a share with one-for-two attaching options.
The issue price represents a 6.25 per cent discount to the company’s five-day volume-weighted average price (VWAP) of 0.64 cents.
Further, Xantippe will launch a share purchase plan (SPP) to raise $8 million under which existing shareholders can subscribe for $30,000 worth of new shares at the same price as the placement.
Xantippe said the funds would allow it to recruit expert personnel to strengthen its Argentina management team and to undertake exploration on the Southern Cross tenements to show prospectivity for pegmatites and test for lithium ore presence.
“We are very pleased to have received commitments from those participating and welcome those new shareholders to our register,” Executive Chairman John Featherby said.
“We believe these additional funds will drive long-term shareholder value.”
Related parties of the company have committed to subscribe for $2.7 million in the placement, subjected to shareholder approval.
The new options will also be subjected to shareholder approval and will be exercisable at 1.5 cents each, expiring on June 10 2024.
Shares under the placement are expected to settle on December 13, with allotment on December 14.
The SPP will open on December 15 and will close on January 19, 2024.
Shares in Xantippe were down 7.69 per cent and trading at 0.6 cents at 2:13 pm AEDT.