Gold prices edge higher; Russia-Ukraine, Jackson Hole symposium in spotlight
LONDON - CleanTech Lithium PLC (AIM:CTL), an exploration and development company focused on sustainable lithium projects in Chile, has raised £4.3 million through a share placing, according to a company statement released Monday.
The placing involves the issuance of 86 million new ordinary shares at 5 pence per share, representing approximately 46.2% of the company’s enlarged share capital. Each placing share carries an entitlement to one warrant, exercisable at 6 pence per share.
The fundraising is being conducted in two tranches: a firm placing of 22.4 million shares raising £1.12 million, and a conditional placing of 63.6 million shares raising £3.18 million, subject to shareholder approval at a general meeting scheduled for August 29.
CleanTech Lithium plans to use the proceeds to fund initial payments for the acquisition of 30 additional licenses at its Laguna Verde project, final pre-feasibility study payments, direct lithium extraction technical work, and general working capital requirements.
The company reported that 95% of the placing shares were allocated to current institutional long-term investors, existing shareholders, and a new strategic investor. Among the participants, Athos Capital Limited, which currently holds 8.61% of the company’s share capital, subscribed for 32 million placing shares.
Additionally, AIM-quoted Metals One Plc made a strategic investment of £1 million in the placing, conditional upon shareholder approval.
CleanTech Lithium has also granted a broker option to raise up to an additional £250,000 and intends to make a retail offer to existing shareholders to raise up to £250,000 more.
The firm placing shares are expected to be admitted to trading on AIM on August 14, while the conditional placing remains subject to shareholder approval.
Executive Chairman Steve Kesler said the funds would provide finance to acquire the Minergy Licenses and working capital as the company focuses on completing necessary workstreams at Laguna Verde to progress toward CEOL (Special Operation Contract for Lithium) award.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.