ABx Group (ASX:ABX) has received firm commitments for a $1.5 million single tranche share placement which will fund subsidiary ALCORE’s pilot plant facility in New South Wales.
Under the placement, the $21.91 million market capitalisation company will issue 18.75 million fully paid ordinary shares at $0.08 each, at a 17.6% discount to the company’s 30-day volume weighted average price (VWAP).
For every 2 shares subscribed, investors will receive 1 option with an exercise price of $0.12 and an expiry date of 6 September 2025.
The combination of the previously announced $7.5 million in grant funding under the federal government’s Modern Manufacturing Initiative (MMI), and the placement, means ALCORE’s pilot plant facility is now fully funded.
“In combination with the MMI grant, the ALCORE pilot plant facility is now fully funded. This is a major milestone for ABx, and we are excited about operating this pilot plant in 2024“
Commenting on the placement, ABx Group Managing Director and Chief Executive Officer (CEO) Mark Cooksey says: “I wish to thank new and existing shareholders for their strong support in this placement, which demonstrates the validity of our cutting-edge ALCORE technology.
In combination with the MMI grant, the ALCORE pilot plant facility is now fully funded. This is a major milestone for ABx, and we are excited about operating this pilot plant in 2024.”
ABx Group is an ASX-listed company, focused on rare earths, alongside hydrogen, and aluminium fluoride.
Write to Aaliyah Rogan at Mining.com.au
Images: ABx Group