Technology Metals Australia Ltd (ASX:TMT) has received commitments for a fully subscribed placement of up to 13.66 million shares at 15 cents per share to raise approximately $2.049 million before costs.
The company is pleased with the continued support of strategic domestic and international investors and welcomes an initial investment by Mr Xu Jinfu, chairman and major shareholder of Guangzhou Tinci Materials Technology Co Ltd.
Tinci Materials is a leading manufacturer and marketer of battery materials.
Funds to progress vanadium project
Funds raised will be used to progress development of the Gabanintha Vanadium Project in WA, including advancing environmental work in support of the preparation of an Environmental Review Document.
Participants in the placement will receive a 1 for 2 free attaching option exercisable at 25 cents per share on or before June 15, 2022.
The strategic investors offer a wealth of experience and contacts in technology metals’ key customer markets as well as significant operational experience and investments within the rapidly emerging battery metals markets.
The placement will be conducted under the company’s current placement capacity in line with ASX Listing Rule 7.1 and 7.1A:
- ASX Listing Rule 7.1 (2.915 million placement shares),
- ASX Listing Rule 7.1 (6.83 million placement options), and
- ASX Listing Rule 7.1A (10.745 million placement shares).
The shares issued under 7.1A are conditional on the minimum pricing condition under ASX Listing Rule 7.1A.3 being satisfied, where this does not occur the issue of those shares will be subject to shareholder approval at the company’s next general meeting of shareholders.