Altech Chemicals (ASX:ATC) has opened a share purchase plan (SPP) to eligible shareholders following the recent successful $2 million share placement.
The recent share placement was to existing cornerstone investor, MAA Group Bhd (KLSE:MAA).
Under the SPP, existed shareholders registered as of 5 May 2017 will be entitled to apply for up to $15,000 worth of new shares.
The price of the SPP shares will be determined by the 5-day volume weighted average price (VWAP) leading up to the SPP closing date of 31 May 2017.
Funds raised from the SPP will be applied to the completion of the detailed design and engineering work for the company’s proposed Malaysian high purity alumina (HPA) plant.
Altech is aiming to become one of the world's leading suppliers of 99.99% HPA through construction and operation of the proposed HPA plant in Malaysia.
The plan is for the HPA plant to process raw kaolin mined and shipped from the company’s 100% owned Meckering kaolin deposit located in Western Australia.
Altech recently dual listed under the ticker A3Y on Germany’s Frankfurt Stock Exchange, the world’s third largest exchange-trading market as measured by trading volume.
The dual listing supports Altech’s strategy to broaden its European investor base, particularly in Germany where there is growing interest in the company’s HPA project.