Orocobre Limited: $85 Million Capital Raising Completed
22.01.2016 | ABN Newswire
Brisbane, Australia (ABN Newswire) - Orocobre Ltd. (ASX:ORE) (TSE:ORL) (OTCMKTS:OROCF) (Orocobre or the Company) is pleased to announce it has raised A$85,000,000 through a placement (the Placement) of 40,476,190 shares to domestic and international institutional and sophisticated investors at an issue price of $2.10 per share, representing a 10.7% discount to the 5 day VWAP of the Company's shares prior to the Company entering into a trading halt on 20 January 2016.The Placement will significantly strengthen Orocobre's financial position and available cash balance.
The proceeds of the Placement will be used principally to service financing costs related to the Olaroz project, including principal and interest payments due in March and September 2016 and payments to the Debt Service Reserve Account. Other uses of funds are detailed in the Company's latest presentation, released to the market today.
Of the total Placement approximately 25,350,551 shares (representing $53,236,157 of the Placement) will be immediately issued pursuant to Orocobre's existing 15% capacity under ASX Listing Rule 7.1, with the balance of the shares (15,125,639) to be issued subject to and upon receipt of shareholders' approval, to be sought at a General Meeting to be held on or about 29 February 2016.
The Lead Manager and Bookrunner for the placement was Canaccord Genuity (Australia) Ltd.
About Orocobre Limited:
Orocobre Ltd. is listed on the Australian Securities Exchange and Toronto Stock Exchange (ASX:ORE) (TSE:ORL) (OTCMKTS:OROCF), and is building a substantial Argentinian-based industrial minerals company through the construction and operation of its portfolio of lithium, potash and boron projects and facilities in the Puna region of northern Argentina.
The Company has built, in partnership with Toyota Tsusho Corporation and JEMSE, the first large-scale, greenfield brine based lithium project in 20 years at the Salar de Olaroz with planned production of 17,500 tonnes per annum of low-cost battery grade lithium carbonate.
Contact:
Orocobre Ltd.
Richard Seville Managing Director
T: +61-7-3871-3985
M: +61-419-916-338
E: rseville@orocobre.com
James Calaway, Chairman
M: +1-713-818-1457
E: jcalaway@orocobre.com
David Hall, Business Development Manager
T: +61 7 3871 3985
M: +61 407 845 052
E: dhall@orocobre.com