Ionic Rare Earths Ltd (ASX:IXR, OTC:IXRRF) has completed its share purchase plan (SPP), exceeding its nominated A$500,000 target to reach approximately A$766,000.
The SPP, which closed on Monday, followed the completion of a placement of 206,857,136 fully paid ordinary shares at a price of A$0.007 plus 103,428,574 options to raise A$1.448 million.
IXR is developing its flagship Makuutu Rare Earths Project in Uganda into a significant, long-life, high-margin, supplier of high-value magnet and heavy rare earths oxides (REO).
Last week, The Viridion joint venture (JV) between IXR and Viridis Mining and Minerals Ltd (ASX:VMM) received validation from Brazilian investment promotion agency Invest Minas to establish a magnet rare earth recycling facility in Brazil's Minas Gerais region.
Ionic Rare Earths plans to utilise its proprietary magnet rare earth recycling technology, currently being demonstrated in Belfast, Northern Ireland, to develop a sustainable, traceable, and sovereign circular rare earth supply chain in Brazil in collaboration with its JV partner.
Noting their confidence in recent developments, the directors of the company have subscribed for 28,857,140 fully paid ordinary shares at A$0.007 plus 14,428,570 options, to raise a further A$202,000 subject to receiving approval at a General Meeting of shareholders to be held early in 2025.
Positive response
The SPP offered eligible shareholders the opportunity to subscribe for up to A$30,000 worth of new fully paid ordinary shares at an issue price of A$0.007 per share. The offer also included options on a 1-for-2 basis, with an exercise price of A$0.011 per option and an expiry date of December 15, 2027, matching the terms of the recent placements.
The company received strong support from shareholders, with applications exceeding the intended raise. In response, the board decided to accept all eligible applications.
A total of 109,379,876 new fully paid ordinary shares have been issued under the SPP, raising approximately A$766,000.
Shares applied for under the SPP will be allotted and issued on Monday, December 23, 2024.