Provaris Energy Ltd will use A$1.5 million raised in a well-subscribed placement to support priority business development activities in Europe related to hydrogen and CO₂ as well as preparations for the future restart of its prototype tank program, according to the company's release.
This share placement at A$0.02 per share was supported by institutional, sophisticated and professional investors, with 75 million new fully paid ordinary shares to be issued.
The issue price represents a 5% discount to the last trade and a 10% discount to the 30-day Volume Weighted Average Price as at November 1, 2024.
As well as attracting support from a new Australian institution and international corporate investor, the placement has also been strongly supported by directors who have subscribed for shares totalling $125,000, which will be subject to shareholder approval at a future planned EGM.
The placement will settle in one tranche with the new shares to be issued under the company’s existing ASX Listing Rules 7.1 and 7.1A placement capacity.
Settlement of the placement is expected to occur on Tuesday, 12 November 2024 and the New Shares will rank equally with the company’s existing fully paid ordinary shares on issue.