Australia's Syrah Resources to raise $65 mln for Mozambique, US projects (updated)

Syrah Resources

13/03/2024 01:30

(Adds further details on the placement offer in paragraphs 2-6)
       March 13 (Reuters) - Australia's Syrah Resources
 SYR.AX  said on Wednesday it would raise A$98 million ($64.73
million) through a placement and an entitlement offer for
funding its Balama graphite operations in Mozambique and its
U.S.-based Vidalia project. 
    Syrah's largest shareholder and the country's top pension
fund AustralianSuper have agreed to the conversion of a 5-year
unsecured convertible note issued in June 2019 and December 2023
into fresh shares in the lithium miner, it said in a statement. 
    AustralianSuper had committed to subscribing for all shares
under the placement and taking up its full pro-rata entitlement
in the institutional entitlement offer, the company said.
    The placement would be at a fixed price of A$0.55 per new
share, which represented a discount of 19.1% to stock's last
closing price on March 12.
    The company said it had agreed with AustralianSuper to the
conversion of series 1 and 3 notes into new shares at a revised
conversion price of A$0.6688 per share.
    The company added that AustralianSuper's shareholding would
increase to no more than 31.9% post the completion of funding
round, from around 17.8% earlier.    
    Around 178.2 million new shares would be issued under the
placement and entitlement offer, Syrah said. 

    ($1 = 1.5140 Australian dollars)

 (Reporting by Roshan Thomas in Bengaluru; Editing by Sherry
Jacob-Phillips and Rashmi Aich)
 ((Roshan.Thomas@thomsonreuters.com;))