Summary
- Greenland Minerals Limited (ASX:GGG) has completed a capital raising of $ 30,000,000 before costs.
- The Placement fetched strong support from institutional, sophisticated investors, along with high calibre international and domestic institutional funds.
- The Company is currently conducting a Share purchase Plan to eligible shareholders.
Greenland Minerals Limited (ASX:GGG) has announced the completion of a Placement that raised $30 million before costs via the issue of 125,000,00 fully paid ordinary shares at $ 0.24 per share. In addition to the Placement, the Company is currently conducting a Share purchase Plan to eligible shareholders.
Greenland Minerals has been operational in Greenland region for over 12 years. According to the Company, demand for rare earths is set for major growth estimated at ~9% CAGR over the next 10 years. Just in time, Greenland Minerals is establishing an integrated global rare earth supply business through the development of its 100% owned, world-class Kvanefjeld Rare Earth Project.
The Company believes that Kvanefjeld is the largest code compliant undeveloped rare earth deposit globally.
Completion of Institutional Capital Raising
Greenland Minerals’ recent Placement raised $30 million before costs. The company issued 125,000,00 fully paid ordinary shares at $ 0.24 per share. The Placement was made to institutional as well as sophisticated investors. It also garnered strong support from high calibre international and domestic institutional funds.
The new shares will be issued under Greenland Minerals’ existing placement capacity under ASX Listing Rule 7.1.
Read about Greenland Minerals’ Q3 2020 Report HERE.
Ongoing Share Purchase Plan
In addition to the Placement, Greenland Minerals is presently conducting a Share Purchase Plan to eligible shareholders. The Share Purchase Plan gives eligible shareholders the opportunity to apply for up to $ 30,000 worth of shares at $ 0.24 i.e. the same price as the Placement.
For more details on the Share Purchase Plan- CLICK HERE.
Use of Funds
The capital raised under the Share Purchase Plan, in conjunction with funds from the Placement, will be used to fund the following on the Kvanefjeld Project-
- Finalisation of licencing and permitting
- Conversion of the optimised feasibility study to a definitive feasibility study
- Advancement of offtake and project funding discussions
- Expansion of organisational capacity to accelerate pre-development work
Greenland shares quoted $ 0.24 on 4 December 2020.
