Evion Group NL has raised A$1.33 million in a rights issue and is well-funded to continue with the ramp-up to full expandable graphite production at the Panthera Joint Venture in India.
The well-supported non-renounceable entitlement offer at 2.3 cents per new share has buoyed the company as sales of expandable graphite from the Panthera JV are exceeding budgeted expectations.
Pleasing support
This level of support is considered by the Evion Group board to be pleasing and supports the company’s plans to double the scale of production at the JV.
The non-renounceable entitlement offer gave eligible shareholders the opportunity to subscribe for one new share in the company for every three existing shares held.
Total subscriptions for 57,998,905 new shares were received from eligible shareholders, to raise $1,333,975, before costs, and the board thanks all shareholders who participated for their ongoing support of the company.
Director confidence
Demonstrating their confidence in the outlook and strategic direction of the company, Evion’s chair Heather Zampatti and managing director David Round contributed to the rights issue.
The company reserves the right to place the shortfall shares at any time within three months of the close of the rights issue.
Use of funds
Funds raised will be applied to:
- Expansion of plant capacity and production run rate at the Panthera Expandable Graphite Joint Venture, India;
- Finalise permitting and licensing requirements for the Maniry Graphite Project, Madagascar;
- Update to the Battery Anode Materials study; and
- General working capital.
Trading of the shares to be issued under the rights issue is anticipated to begin on Monday, February 10, 2025.
An Appendix 2A will be lodged with ASX prior to Noon AEST on Friday, February 7, 2025, to apply for quotation of the shares.
Bonus options offer
The company will undertake a separate pro-rata non-renounceable entitlement issue of options in which eligible shareholders registered on the record date will be entitled to participate.
Key terms of this bonus offer will include:
- Offer of one bonus option for every two shares held at the record date;
- The indicative record date is February 21, 2025;
- Subscription price for a bonus option will be A$0.003;
- Exercise price will be $0.03 per bonus option; and
- Expiry date will be 18 months after the issue date.
Euroz Hartleys will act as lead manager to the shortfall placement and bonus options offer.
Full details of the bonus options offer will be set out in a prospectus which the company intends to lodge with ASIC and ASX on Monday, February 17, 2025.
Combined with ongoing engagement with offtakers and potential new customers, the company has a robust outlook for the Panthera JV.