Junior explorer ABx Group (ASX:ABX) has closed its share purchase plan (SPP), launched back in November 2022, oversubscribed by more than $100,000.
The $17.44 million market capitalisation company raised $615,960 from 132 shareholders under the SPP, with new shares issued at $0.08 — a premium of 2.4% to the company’s 30-day volume weighted average price (VWAP) to 24 November, just before the capital raise was announced.
For reference, ABx aimed to raise $500,000 through the SPP.
The company will put the new funds towards exploration work at its rare earth elements project in Tasmania, which it touts as a true ionic adsorption clay deposit.
Tests from the Australian Nuclear Science and Technology Organisation (ANSTO) show that the ABx deposit has the highest extractions under relatively neutral conditions reported from any clay-hosted rare earths deposit in Australia.
Under the terms of the SPP, shareholders who participated will receive one free attaching unlisted option for every two shares applied for, exercisable at $0.12 before 6 September 2025.
ABx says each of its directors participated in the SPP at their maximum level permissible.
Write to Joshua Smith at Mining.com.au
Images: ABx Group
