Arafura Resources Ltd (ASX:ARU) directors have demonstrated faith in the company’s rare earth strategy by participating in a share purchase plan which raised $5.5 million, enabling FEED activities to begin at the Nolans Neodymium and Praseodymium (NdPr) Project in the Northern Territory.
The SPP closed on August 13 and provided eligible shareholders who held shares at 7:00pm (Sydney Time) on the record date of June 23 with the opportunity to apply for up to $30,000 worth of new fully paid ordinary shares at the same issue price 12 cents per share as the recently completed $40 million placement.
ARU received a total of 1,412 applications under the SPP, representing a total application value of around $16.8 million.
All directors purchased shares at 12 cents per share on Friday, August 20.
Change of director’s interests
Non-executive chairman Mark Southey acquired 103,980 shares in an indirect interest, increasing the number of securities held in that interest to 378,980 while he also holds another 225,000 shares in another indirect interest.
Managing director Gavin Lockyer purchased 103,980 shares in an indirect interest, increasing the number of securities held in that interest to more than 1.11 million shares with another 1,245,723 shares held in a separate indirect interest.
The acquisition of 103,980 shares by non-executive director Chris Tonkin in a direct interest, took the number of securities held to 426,140.
Non-executive director Cathy Moises acquired 34,660 shares in an indirect interest, increasing the number of shares held in that interest to 342,181.