EcoGraf raises $1.6 million to progress development of new Australian battery graphite business

EcoGraf Ltd (ASX:EGR) has received firm commitments from sophisticated, professional and institutional investors to raise $1.6 million through a placement of 24.6 million shares at an issue price of 6.5 cents per share.

The placement was conducted without a prospectus with the shares being offered and subscribed for by investors where disclosure is not required.

Shares will be issued on May 28 and represent a 7% discount to the 5-day volume-weighted average price of EcoGrafs shares prior to the placement.

Funds to develop graphite facility

Funds will be applied towards the development of a state-of-the-art EcoGraf™ battery graphite facility in Kwinana, Western Australia.

Specifically, funds will assist to:

  • Finalise offtake arrangements with priority customers in Europe and Asia;
  • Prepare marketing and technical reports to support government funding processes;
  • Secure lender approvals for the proposed US$35 million debt financing;
  • Pre-development technical programs and submission of government development approvals; and
  • Complete engineering, procurement, construction and operations plRead More – Source