The heavily oversubscribed SPP takes the company’s total capital raising proceeds to A$34 million after raising A$30 million in a placement to institutional and sophisticated investors at A$0.24 per share.
Funds accepted in the SPP will be scaled back and the company will issue 16,694,694 new shares on or before December 30, 2020.
The SPP was offered to eligible shareholders, providing the opportunity to subscribe for new fully paid ordinary shares up to the value of $30,000 per shareholder.
Greenland’s original target for the SPP was $3 million and the company is delighted with the response.
Use of funds
Funds raised will be used for finalisation of licensing and permitting for the Kvanefjeld Rare Earth Project in Greenland and conversion of the optimised feasibility study to a definitive feasibility study.
The proceeds will also advance offtake and project funding discussions as well as to expand organisational capacity to accelerate pre‐development work.