
October 29, 2024
Lithium Universe Limited (referred to as "Lithium Universe" or the "Company," ASX: "LU7”) is pleased to announce the following:
Placement
The Company has received binding commitments from sophisticated and professional investors pursuant to a placement to raise $2.14 million by the issue of 171,320,000 fully paid shares (“Shares”) at an issue price of $0.0125 per Share (“Placement”). The Placement is to be undertaken in two tranches:
- Tranche 1: issuing 155,320,000 Shares raising $1,941,500; and
- Tranche 2: issuing 16,000,000 Shares and raising $200,000, to be approved at a shareholders meeting, expected to be 9 December 2024 (“Shareholders Meeting”).
The issue date of the Tranche 1 Placement Shares is to take place on 8 November 2024.
Highlights
- Binding commitments received to raise $2.14 million
- Launch of pro-rata Non-Renounceable Entitlement Offer to raise $1.02 million
- Issue price of the Placement and Entitlement Offer is $0.0125 per share
- A total of $3.16 million in capital raising
- Participants in Placement and Entitlement Offer to receive free attaching options
- On the basis of 1 option for every 1 share issued with exercise price of $0.03 and expiry date of 12 January 2026
- Tranche 2 Shares and all Options to be issued under the Placement are subject to shareholder approval
- Funds will mainly be used to complete the Bécancour Lithium Refinery DFS
- Maintains momentum, closer to establishing a lithium refinery in Bécancour
Participants in the Placement will also receive, subject to shareholder approval (to be undertaken at the Shareholders Meeting), free attaching options on the basis of one (1) option for every one (1) share issued, with each option having an exercise price of $0.03 and expiry date of 12 January 2026 (“Options”). The Company intends to list the Options as soon as possible. The issue of the Tranche 1 Placement Shares will be made out of the Company’s existing placement capacity under Listing Rule 7.1 and 7.1A.
Included in the Tranche 2 Placement is an amount of $90,000 from Iggy Tan, Patrick Scallan and Gernot Abl. The share issues will also be subject to shareholder approval at the forthcoming shareholders meeting.
The Placement was jointly managed by SP Corporate Advisory (Joint Lead Manager), Ignite Equity (Joint Lead Manager), and GBA Capital (Co-Manager). The costs associated with the Placement was a 6% fee on all funds raised.
Executive Chairman, Mr Iggy Tan stated “We are pleased with the outcome of the Placement in a challenging market, which reaffirms support for the Company’s strategy to complete the Definitive Feasibility Study for the Bécancour Lithium Refinery. On September 30, 2024, the Company reached a significant milestone, having released the positive and robust Preliminary Feasibility Study, displaying strong fundamentals despite the current low lithium pricing environment.
The Company is highly committed to our shareholders, and I am pleased we can offer them the same investment terms extended to sophisticated and professional investors. The Board and Management Team remains dedicated to engaging with our existing shareholders and delivering against our strategy. If fully subscribed, proceeds from the Placement and Entitlement Offer will strengthen our balance sheet, bringing us closer to establishing an operational lithium conversion plant in Bécancour, Québec.”
Entitlement Offer
Overview
The Company also intends to undertake a non-renounceable Entitlement Offer of 1 Share for every 10 Shares held by Eligible Shareholders (defined below) at the same issue price as the Placement of $0.0125, to raise up to approximately $1.024 million (“Entitlement Offer”). Participants in the entitlement offer will also receive free attaching Options (on a 1 for 1 basis), which also will be listed. Full details of the Entitlement Offer (including the record date and eligibility requirements) will be set out in the Prospectus expected to be lodged with the ASIC on or about 30 October 2024.
Other key details for the Entitlement Offer are:
Eligible Shareholders and Applying for Shares under the Entitlement Offer
The Entitlement Offer will be open to all eligible shareholders who have a registered address within Australia, New Zealand, Germany, Hong Kong, Switzerland, the United Kingdom and Singapore and who hold shares on the record date (Eligible Shareholders), and is proposed to close on Friday 22 November 2024 (unless otherwise extended by the Board). All Shares issued will rank equally with existing Shares on issue and the Company will apply for quotation of the new Shares and Options issued pursuant to the Entitlement Offer.
Click here for the full ASX Release
This article includes content from Lithium Universe, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
LU7:AU
The Conversation (0)
03 September
Macquarie Electro Jet Silver Extraction Recovery
Lithium Universe (LU7:AU) has announced Macquarie Electro Jet Silver Extraction RecoveryDownload the PDF here. Keep Reading...
12 August
Acquisition of Silver Extraction Technology
Lithium Universe (LU7:AU) has announced Acquisition of Silver Extraction TechnologyDownload the PDF here. Keep Reading...
30 July
Quarterly Activities/Appendix 5B Cash Flow Report
Lithium Universe (LU7:AU) has announced Quarterly Activities/Appendix 5B Cash Flow ReportDownload the PDF here. Keep Reading...
30 July
Lithium Universe Ltd Quarterly Activities Report
Melbourne, Australia (ABN Newswire) - During the June quarter, Lithium Universe Ltd (ASX:LU7,OTC:LUVSF) (FRA:KU00) (OTCMKTS:LUVSF) announced the acquisition of the global rights to commercially exploit a patented photovoltaic solar panel recycling technology known as "Microwave Joule Heating... Keep Reading...
17 July
Completion of PV Solar Cell Recycling Acquisition
Lithium Universe (LU7:AU) has announced Completion of PV Solar Cell Recycling AcquisitionDownload the PDF here. Keep Reading...
23h
Successful A$4.5m Two Tranche Placement
Green Technology Metals (GT1:AU) has announced Successful A$4.5m Two Tranche PlacementDownload the PDF here. Keep Reading...
10 October
Chairman on India Trade Mission with PM
Robin Brundle joins Prime Minister on first major trade mission to IndiaMr Brundle joins 125-strong delegation of leading business representatives, academic and cultural leaders, and government ministers on UK's largest ever trade mission to IndiaTechnology Minerals Plc (LSE: TM1), the first UK... Keep Reading...
09 October
Mining the Gap: 5 Forces Shaping North America’s Lithium Supply Chain
A convergence of industry investments, government initiatives and a shifting global trade dynamic is creating an environment ripe for the development of a North American battery supply chain, with lithium playing a leading role. These trends are reshaping the region’s industrial base and opening... Keep Reading...
08 October
Saskatchewan Implements New 3 Percent Lithium Royalty, Provides Clarity to Companies
Saskatchewan has introduced a new royalty framework for lithium production, marking a major step toward supporting the province’s growing role in Canada’s critical minerals sector. The amendments to 2017 subsurface mineral royalty regulations formally establish a 3 percent Crown royalty on the... Keep Reading...
06 October
From Rock to Road: Investing in Ontario’s Looming EV Boom
The momentum around the global energy transition has underscored the critical importance of establishing secure, ethical and efficient critical mineral supply chains, leading to renewed interest in jurisdictions with the right resources but without the geopolitical baggage. And Ontario, Canada... Keep Reading...
02 October
UPS Batteries For Explosive (EX & ATEX) Environments
Altech Batteries (ATC:AU) has announced UPS Batteries For Explosive (EX & ATEX) EnvironmentsDownload the PDF here. Keep Reading...
Latest News
Latest Press Releases
Related News
TOP STOCKS
American Battery4.030.24
Aion Therapeutic0.10-0.01
Cybin Corp2.140.00