Altech Chemicals Ltd (ASX:ATC) has been granted a trading halt by the ASX with a capital raising announcement imminent.
The halt will be in place until the start of normal trading on Tuesday, April 16, 2019, or when an announcement is released to the market, whichever occurs earliest.
Altech's securities last traded at 13 cents.
READ: Altech Chemicals continues to progress stage 1 construction at HPA project site in Malaysia
Early last month the company completed initial establishment activities at the site of its High Purity Alumina (HPA) Project facility in Malaysia.
The site is progressing towards the construction phase with a foundation piling rig mobilised, vehicle wash down bay established, site construction office erected and a weather monitoring station in place.
In March, Altech officially mandated Macquarie Bank as its preferred mezzanine lender for the project.
READ: Altech Chemicals signs mezzanine finance mandate with Macquarie Bank
The two companies reached an agreement on mezzanine debt terms and executed a mandate letter, which appoints Macquarie as the exclusive debt provider.
The agreement is subject to usual due diligence legal, market and technical processes.
Altech aims to become one of the world’s leading suppliers of 99.99% (4N) HPA, which will be produced at the site, and plans to use its kaolin mine in Western Australia to feed the HPA plant.