Lithium exploration and development firm Atlantic Lithium has successfully raised A$10 million through an institutional placement, priced at A$0.23 per share. The placement will issue approximately 43.4 million new fully paid ordinary shares with no par value.
Funds from the placement will support the company’s flagship Ewoyaa lithium project in Ghana, aiding progress toward a final investment decision (FID).
Specifically, the capital will enable optimization and technical refinements of the definitive feasibility study for Ewoyaa, as well as complete permitting and pre-construction activities.
A portion of the proceeds will also be allocated to working capital.
Assore International Holdings, Atlantic Lithium’s largest shareholder, has conditionally committed A$7.5 million, representing about 32.7 million new shares at the issue price.
Additionally, Atlantic’s executive chair Neil Herbert, CEO Keith Muller, and nonexecutive director Edward Koranteng have collectively committed A$290,000 through the subscription of around 1.2 million new shares.
These subscriptions by Assore and company directors are subject to shareholder approval at the upcoming Annual General Meeting (AGM). If Assore’s participation is approved, the company will hold a 30.56% stake in Atlantic Lithium.
Neil Herbert commented, “This successful placement, despite a challenging market environment for lithium companies, reflects solid support for our project from both existing and new investors.
Assore has been a steadfast partner since our listing on AIM, and their ongoing support reinforces confidence in Ewoyaa’s potential.
“With the funds dedicated to advancing key milestones, this placement positions us strongly to move toward commercial spodumene production in Ghana,” Herbert concluded.
