SYDNEY: BlackEarth Minerals NL has announced a Share Purchase Plan (SPP) which will allow existing eligible holders of fully paid ordinary shares in the company to apply for up to 600,000 shares (A$30,000) at the same price ($0.05per share).
BlackEarth Minerals announced on 2 October 2020 that I thad secured commitments from investors to subscribe for approximately 28.413 million new fully paid ordinary shares to raise gross proceeds of A $1.4 million.
The Share Purchase Plan (SPP) will involve the issue of up to 34 million new fully paid ordinary shares at an issue price of $0.05 per share to raise gross proceeds of up to $1.7 million. The issue price represents a 9.2% discount to the 5-day volume weighted average price of BlackEarth shares traded on the ASX immediately prior to 1 October 2020.
Eligible shareholders will be able to subscribe for up to 600,000 new fully paid ordinary shares ($30,000) without incurring brokerage or other transaction costs.
If total applications for the SPP exceed $1.7 million the company reserves the right to close the SPP early or scale back applications in its absolute discretion.