AUS
NZ
UK
CA
USA
IND
_06_04_2026_00_29_48_108019.jpg)
The graphite mining player, Battery Minerals Limited (ASX:BAT) announced today that it had received commitments for $5 million in share placement scheme. With this development, the strategy to develop the Graphite Project in Mozambique is on track.
Further, the company provided more details on its share placement program. The placement was at 2.5 cents per share, with a free one-for-two listed option exercisable at 10 cents with an expiry date of July 2023 (ASX:BATO). Furthermore, the placement would be carried out in two tranches. The second tranche of shares and all options subject to shareholder approval at the annual general meeting to be held next month.
Additionally, the company stated that the proceeds from the share placement would be used, to continue the ongoing development of the Montepuez Graphite Project, and for this project, BAT is presently undertaking a thorough project financing process.
Battery Minerals has garnered continued support from its largest shareholder, Farjoy Pty Ltd. Besides, Battery Minerals board and Farjoy Pty Ltd would settle in Tranche 2 of the placement. Morgans Corporate Limited and Hartleys Limited were the Joint Lead Managers to the placement, as reported by the company.
Mr David Flanagan, Battery Minerals Managing Director, believes that the fund raised would take the company closer to the realisation of the Montepuez Graphite Project.
Placement
As part of the share placement plan, the company would issue 204 million shares at a price of 2.5 cents per share and these are issued in two tranches to professional, sophisticated, and institutional investors. The newly issued shares would rank equally with the current shares on issue. Further, the placement investors would receive one listed 10 cent option, with an expiry date of July 2023 for every two shares subscribed. This is subjected to shareholderâs approval. The options could be traded on ASX as they are already quoted.
The two tranches undertaken are: In the initial tranche, ~160 million New shares would be issued. This would be pursuant to ASX listing rule 7.1. The remainder 44 million New Shares and the entire 102 million options would be issued post the shareholders approval during the companyâs AGM. Upon the completion of the second tranche of the placement, BAT would have raised $5.1 million in aggregate before costs.
Use of Funds
The company reports that it intends to use the funds raised, to advance its Montepuez Graphite Project in the Cabo Delgado Province of Mozambique.
Battery Minerals Limited (ASX:BAT) shares have delivered a negative absolute return of 61.73 percent over the past five years.
However, the shares have been in an upward momentum in the past few months. It has delivered a return of 29.17 percent and 14.81 percent in the past three months and one month respectively.
BAT has a current market cap of ~ AUD 34.52 million with ~ 1.11 billion outstanding shares. On April 4th, 2019, the BAT stock price, by the end of the trading session, closed at AUD 0.026 on ASX down by 16.129% as compared to its previous trading day close price. This comes, post the trading halt as requested by the company recently. The 52-week high price stood at A$0.080, and 52-week low price stood at A$0.020.
Disclaimer
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.
