Syrah raising $64M through stock deal to fund Vidalia, Mozambique operations
Published 3:07 pm Wednesday, March 13, 2024
- Submitted photo The Vidalia, La., Syrah operations is featured ini this aerial photo.
Getting your Trinity Audio player ready...
|
Australia’s Syrah Resources said on Wednesday it would raise $64.73 million through a placement and an entitlement offer for funding its Balama graphite operations in Mozambique and its U.S.-based Vidalia project.
Syrah’s largest shareholder and the country’s top pension fund AustralianSuper have agreed to the conversion of a five-year unsecured convertible note issued in June 2019 and December 2023 into fresh shares in the lithium miner, it said in a statement.
AustralianSuper had committed to subscribing for all shares under the placement and taking up its full pro-rata entitlement in the institutional entitlement offer, the company said.
The placement would be at a fixed price of A$0.55 per new share, which represented a discount of 19.1% to stock’s last closing price on March 12.
The company said it had agreed with AustralianSuper to the conversion of series 1 and 3 notes into new shares at a revised conversion price of A$0.6688 per share.
The company added that AustralianSuper’s shareholding would increase to no more than 31.9% post the completion of funding round, from around 17.8% earlier.
Around 178.2 million new shares would be issued under the placement and entitlement offer, Syrah said.