PLS Group (ASX:PLS) is looking to conduct a financing offer for up to US$500 million ($701.44 million) in senior unsecured notes to refinance existing credit facilities.
The notes will be due in 2031 and will be offered to qualified institutional buyers, subject to market and other conditions.
PLS will use a portion of the net cash proceeds to refinance certain existing credit facilities, while the remaining proceeds will be used for general working capital, if the offer goes ahead.
The notes will be guaranteed by certain wholly owned subsidiaries of PLS.
PLS Group is a lithium producer with a diversified portfolio of assets and strategic partnerships worldwide, focused on rapidly growing the battery materials sector.
PLS owns and operates the Pilgangoora Operation in Western Australia, which the company says is the world’s “largest, independent hard rock lithium operation”.
The company also owns the Colina Lithium Project in Brazil and is involved in a joint venture with POSCO regarding lithium hydroxide manufacturing in South Korea.
In October last year, Kairos Minerals (ASX:KAI) signed a mineral rights agreement with PLS for three exploration tenements and one application of all mineral rights, excluding lithium and tantalum, at the Mt York Project in Western Australia.
Kairos will pay a royalty to PLS of 2% of gross revenue on any minerals recovered and sold from the licences under the agreement.
Write to Maddison Elliott at Mining.com.au
Images: PLS Group
