(Alliance News) - Salt Lake Potash Ltd on Friday said it has now completed its share placement, raising AUD23.5 million, about GBP12.1 million.
The mineral exploration company said the placing consisted of 33.6 million shares issued at a price of AUD0.70 each.
Salt Lake Potash shares were trading 5.9% higher in London on Friday at 36.00 pence each. In Sydney, the stock closed up 3.2% at AUD0.65, giving it a market capitalisation of AUD188.3 million.
The company said it has also issued one share to each holder of the 7.5 million class B performance shares that expired at the end of 2019, in accordance with the terms and conditions.
Following the admission, Salt Lake Potash will have 290.3 million shares overall.
The company said Chief Executive Tony Swiericzuk and Chair Ian Middlemas both participated in the fundraising, subscribing for 678,571 and 250,000 shares each, respectively. Swiericzuk's subscription was worth AUD475,000, while Middlemas's purchase value stood at AUD175,000.
Salt Lake Potash said it intends to use the proceeds from the placing to fund the development of the Lake Way project, which is in the Goldfields region of Western Australia.
The Lake Way project is a sulphate of potash project expected to general annual earnings of AUD111 million before interest, taxation, depreciation and amortisation.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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