Lithium Australia Ltd (ASX:LIT, OTC:LMMFF) has completed a share purchase plan (SPP), receiving applications totalling $952,625. The SPP follows a share placement with The Lind Partners for an initial investment of $1.8 million and total funding of up to $7.5 million.
The funds raised from the SPP and placement will be used to fund key growth and business development initiatives across the battery recycling and battery materials divisions.
Testament to LIT’s long-term vision and growth strategy
Lithium Australia CEO and managing director Simon Linge said: “We are pleased to announce the SPP results. The strong support received from shareholders is a testament to the confidence in Lithium Australia’s long-term vision and growth strategy.
“Proceeds raised will accelerate the momentum achieved in the battery recycling division, as evidenced by the recent signing of an exclusive recycling agreement with leading EV manufacturer BYD Auto, and continuation of recycling operating cash profits into FY25 following this maiden achievement in Q4 FY24.
“The funding will also support the battery materials division’s business development activities including the securing of off-take agreements and strategic partners. We are excited to continue the strong momentum delivered in early FY25 and execute on our growth strategy."
The SPP provided eligible shareholders the opportunity to apply for up to A$30,000 of new fully paid ordinary shares in the company. LIT will issue a total of 45,363,197 new shares under the SPP.
About Lithium Australia
Lithium Australia is aiming to lead and enable the global transition to sustainable lithium production. The company operates Australia’s market leading battery recycler, produces critical battery material lithium ferro phosphate (LFP), and has developed a patented lithium extraction technology.
LIT's revenue-generating recycling business and technologies are well-placed to capitalise on growing global lithium-ion battery demand and provides diversification benefits to global supply chains.