$30 million placement update and issue of securities
Australian heavy rare earths producer Northern Minerals (ASX: NTU) has updated the market on its $30 million placement and announced further issues of securities.
The Company is pleased to announce that further to recent announcements in relation to the Placement, the Company has received a further $2,930,067 million in subscription funds.
Accordingly, the Company has issued 47,259,146 shares to the relevant subscribers, all of which have been issued under the Company’s placement capacity under Listing Rule 7.1. The total amount raised to date under the Placement is approximately $22.6 million (before costs).
The balance of approximately $7.4 million in subscription funds were not received by the due date of 31 August 2019 but the Company has subsequently agreed to extend the completion date for those subscribers to 31 October 2019.
Issue of shares under private placement
The Company has today issued 1,612,903 fully paid ordinary shares at an issue price of $0.062 under an arrangement with a supplier, raising funds of $100,000 (before costs).
Those funds will be used for general working capital purposes (including in relation to payments to the supplier under a fixed supply arrangement). All 1,612,903 shares under this placement were issued under the Company’s placement capacity under Listing Rule 7.1.
Exercise of performance rights
A total of 500,000 fully paid ordinary shares have been issued as a result of the exercise of performance rights which vested when performance conditions relating to practical completion of the pilot plant were satisfied. These shares were issued under Listing Rule 7.2, exceptions 9 and 14.
Issue of performance rights
The Company has issued a total of 11,904,000 performance rights to employees of the Company (or their nominees) under the Company’s Performance Rights Plan (a summary of which is included at Annexure B of the Company’s notice of annual general meeting for 2017 which was released to ASX on 30 October 2017).