First Graphite enters trading halt ahead of capital raising
First Graphite (ASX:FGR) is advancing a new energy storage device, a supercapacitor battery that it believes will be superior to existing chemical batteries.
First Graphite is playing in the graphite space in Sri Lanka, where it is sourcing premium quality graphite from Sri Lanka, and transforming it into graphene.
The company requested a trading halt on Tuesday morning, stating its intention to raise approximately $3 million by the placement of 32 million shares at 11¢ each, being an increase of just over 10% in the issued capital.
The placement is open to Sophisticated Investors at a 10.6% discount to 5 day VWAP share price, with Warwick Grigor from Far East Capital handling the lead manager’s role.
It is anticipated that funds raised through the capital raising will be used in the development of this technology through the acquisition of graphene related IP, allowing the company to further advance graphene testing and production capability.
Prospective investors can also gain access to the raising through capital raising and IPO platform raisebook.com, which currently also lists Raptor Resources IPO as a current deal and has previously raised money for Rotogro, Cobalt Blue, Broo Limited and Birimian.
Remember, however, that FGR is an early stage company and investment success is no guarantee. Apply caution to your investment decision with regard to this stock.
First Graphite has signed a sales agreement with the Sri Lankan Government owned KGLL to purchase 100% of the Kahatagaha premium grade vein graphite for a period of two years.