Triton Minerals (ASX:TON) is seeking A$11.3 million for its drive to become a vertically integrated graphite company in Mozambique, with one investor agreeing to underwrite the fundraiser to a value of $4 million.
Triton is pursuing a pro rata non-renounceable entitlement issue of one share for every five shares held at an issue price of $0.15 per share, with each eligible shareholder offered one free attaching option for every two shares subscribed for under the offer.
The options are exercisable at $0.20 each and expire in March 2017. The closing date of the entitlement offer is December 11.
As part of the funding effort, GMP Securities Australia has agreed to partially underwrite the offer to a value of $4 million subject to conditions precedent, termination events and other terms and conditions customary for an underwriting agreement of its nature.
The money raised will be used to define resources at the Ancuabe graphite project and at the P66 zone of Triton’s Nicanda Hill graphite property – both in Mozambique.
Funds will also be applied to expansion of a Definitive Feasibility Study (DFS) to include P66, Ancuabe and a joint venture manufacturing facility in Mozambique and China.
Part of the proceeds will likewise be used to fund the start of construction at this facility with JV partner Yichang Xincheng Graphite.
Source: Proactive Investors
