Talga cashes up

TALGA Resources has raised around A$8.5 million in an oversubscribed institutional placement.
Talga cashes up Talga cashes up Talga cashes up Talga cashes up Talga cashes up

Staff reporter

The company will issue around 13.1 million shares at 65c each, a 5.8% discount to Talga's last closing price of 69c.

Canaccord Genuity acted as sole lead manager to the placement, which saw a number of new institutions join the Talga register.

The company was not short of cash, but said it conducted the placement following in-bound interest from several new high-quality investors.

"We welcome our new institutional shareholders to the Talga register in what we see as a maturing vote of confidence by equity markets in the long-term upside for Talga's global scale graphite-graphene material and technologies business," Talga managing director Mark Thompson said.

Talga expects to have $18.5 million cash as of June 30.

The funds will be used for lithium-ion battery graphite and graphene product development, including scale-up of battery anode commercial samples towards product marketing/offtake agreements, graphite resource to reserve conversion and studies, cobalt project development in preparation for a potential spin-off, and working capital.

Talga has three business divisions; one covering its graphite and cobalt resources in Sweden, Talga Advanced Materials, a test process facility in Germany, and Talga Technologies, an R&D facility in the UK.

Talga shares were unchanged at 69c in early trade.

 

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