SciDev Limited (ASX:SDV) have received binding commitments from two major institutional investors to subscribe for 7,692,308 shares at an issue price of $0.65c per share to raise $5m. SciDev will also undertake a Share Purchase Plan (SPP) to raise up to a further $2m at $0.65 per share.
What are the key highlights?
- One of Australia's leading fund managers, Perennial Value Management, have participated in the placement.
- The funds will be used primarily for three key objectives. First, SciDev will upgrade its Kings Park facility to build capacity for the supply of SciDev chemistry into the domestic infrastructure and mineral processing sectors.
- Secondly, SciDev will increase raw material and inventory holdings to deliver into recent contract wins and to fulfill the growing demand for SciDev chemistry.
- Finally, SciDev will contribute funds to capitalise the strategic Joint Venture with Nuoer which is targeting Chinese State-Owned operations outside of the PRC.
For more information, please refer to the announcement in the link below.