Almonty Industries (ASX:AII) is raising US$90 million ($137.52 million) through a US underwritten public offering to fund its tungsten oxide facility while preparing to list on Nasdaq.
The company will issue 20 million shares at US$4.5 per share which will be traded under the ‘ALM’ ticker code on Nasdaq from 14 July, before an expected close on 15 July.
D.A. Davidson & Co. is acting as the lead manager for this offering, with Scotiabank as co-manager, and Oppenheimer & Co and Cantor as the joint bookrunners, all of which have been offered a 30-day period to purchase up to 3 million shares.
Almonty suspended trading on the OTCQX on 11 July, ahead of this trading.
As previously reported by Mining.com.au, the company is intending to secure its position within the tungsten sector of the US amid global geopolitical tensions.
CEO Lewis Black says the company is pleased with investors oversubscribing in support of its uplisting to the Nasdaq.
“Our US listing also reflects our emerging status as America’s tungsten supplier, further supported by our ongoing redomiciling initiatives,” Black says.
“The capital from this offering funds the development of our Sangdong tungsten oxide facility, enabling Almonty to continue to rise in prominence as a leading supplier of tungsten for the defense needs of the US and its allies.”
As a critical mineral, tungsten holds a high melting point to produce hard metals, often desired by the defence sector to create armor-piercing missiles and weapons.
Almonty is collaborating with US-based defence contractor Tungsten Parts Wyoming and processor Metal Tech to supply the commodity for defence applications.
Write to Maddison Elliott at Mining.com.au
Images: Almonty Industries
