Suvo Strategic Minerals Limited (ASX: SUV) has announced the results of the company’s Share Purchase Plan (SPP).
The SPP complemented the company’s recently completed placement to new and existing sophisticated investors, raising A$2.5M (before costs) at an issue price of A$0.03 per share. The SPP closed on 27 February 2024 and was significantly oversubscribed with A$2.663M in applications received.
Non-executive chairman Aaron Banks commented: “The Suvo team has been humbled by the extraordinary show of shareholder support for our Share Purchase Plan and we sincerely thank all those who participated. We look forward to updating the market as we progress towards our target of filling the remaining capacity at Pittong and capitalizing on some exciting opportunities for our geopolymer concrete.”
The level of demand received under the SPP is exceptional and testament to the support from the company’s loyal and existing shareholders. The board has exercised its discretion under the terms of the SPP and has increased the size of the SPP offer from A$1.5M as previously announced on 23 February 2024, to A$2M.
Accordingly, the directors have balanced increasing the SPP amount to reflect the level of existing shareholder support with the ability to effectively deploy any additional acceptances to accelerate Suvo’s growth strategy. As a result, applicants will be scaled back in accordance with the terms of the SPP Offer Booklet.
Additional funds raised will support the ramp up of production at the company’s Pittong project and accelerate the commercialization of Suvo’s IP for a low carbon geopolymer concrete.
The company has stated that the number and value of applications is a strong endorsement of its growth strategy, positioning Suvo with a fortified balance sheet and unparalleled opportunity to accelerate its key initiatives.
It is anticipated that SPP shares will be issued on Friday, 1 March 2024. A total of 66,666,667 new fully paid ordinary shares will be issued, representing approximately 8.2% of Suvo’s ordinary shares on issue prior to the SPP.
To read more about this, please visit https://investorhub.suvo.com.au/
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