The completed placement also incorporates more than 60 million options exercisable at 6 cents, expiring on April 8, 2022.
AVZ received commitments for the combined placement of fully paid shares to Lithium Plus and other eligible sophisticated and professional investors, including a global institutional investor, all of whom are non-related parties to raise $3.6 million before costs.
Funds raised to be used to progress a definitive feasibility study for the Manono Lithium and Tin Project in the DRC and for general working capital.
Yibin Tianyi strategic investment
AVZ has also been moving closer to a $14.1 million strategic investment by Yibin Tianyi Lithium Industry Co with the Australian Foreign Investment Review Board (FIRB) approval process nearing completion.
The Sunset Date for the satisfaction of conditions for the Yibin placement has been extended to April 30, 2020, to accommodate a request from FIRB to extend the statutory deadline for Yibin's application to April 10, 2020.
AVZ managing director Nigel Ferguson, said: “We are pleased with Yibin Tianyi’s commitment to finalise this strategic investment, as they understand it is the start of a long-term relationship with AVZ.”
A formal decision for the Chinese Overseas Direct Investment approval will only be made when all conditions of the placement, including FIRB approval, have been satisfied.