Altech Batteries Ltd (ASX:ATC) has been given a strong vote of confidence from investors by raising more than A$13 million in a capital raising with funds to be used to advance its European battery strategy.
A pro-rata non-renounceable entitlement offer of one fully paid ordinary share in the capital of the company for every eight shares held by eligible shareholders at an issue price of $0.07 per share closed on Friday, August 4.
The company received applications to subscribe for 80,548,247 new shares from eligible shareholders, which represents around 44% of all shares offered under the entitlement offer.
“Extremely pleased with support”
The company’s chief financial officer Martin Stein said, “Altech is extremely pleased with the support that our shareholders have provided with the take up of the entitlement offer.
"Together with the recent placement that raised $3 million, and with the $6.7 million underwritten for the entitlement offer, total proceeds have been raised of $13,300,208.
"Directors have also participated in the offer, and together with the underwriting by major German shareholders Deutsche Balaton and Delphi, this sends a strong message of support for both the CERENERGY® and Silumina AnodesTM battery projects.”
Shortfall offer
Altech is consulting with the entitlement offer underwriters, Deutsche Balaton Aktiengesellschaft and Delphi Unternehmensberatung Aktiengesellschaft, to allocate shortfall applications in accordance with the allocation policy set out in section 2.7 of the offer prospectus.
The shortfall offer is a separate offer made pursuant to the prospectus and will remain open for up to three months following the closing date of Friday, August 4, 2023.
Use of funds
Funds received would be applied to both projects, Stein said, “as Altech commercialises the 100MWh CERENERGY® battery production plant as well as the 10,000 tonnes per annum Silumina AnodesTM battery materials plant, with both projects to be constructed on Altech’s land in Germany.
"Altech believes that as the world turns to the electrification of energy solutions, these projects are well placed with enormous potential upside.
"We continue to work hard to maximise these projects for the benefit of all of our loyal shareholders.”