Galan Lithium Limited (ASX:GLN) (Galan or the Company) is pleased to announce a capital raising for gross proceeds of $550,000 through a fully subscribed private placement.
The Company confirms that it has received firm commitments from professional and sophisticated investors and others, including the entire Galan Board, staff and key consultants, through a share placement at 14 cents per share plus one free unquoted option (exercisable on or before 31 March 2022 at $0.25) also being issued on a one for one basis (Placement). The Placement shares (3,928,572) and options (3,928,572) are planned to be issued by Thursday 9 April 2020 under the Company’s existing placement capacity under ASX Listing Rules 7.1A and 7.1 respectively. Prior shareholder approval will be sought for the issue of directors’ shares in the Placement in mid to late May 2020.
The funds raised will, during these challenging times, enable Galan to continue its scoping and PFS studies, move forward with further resource work and for working capital.
Galan’s Chairman, Richard Homsany, said,
“The success of this fundraising in unprecedented and most challenging circumstances is testament to the high quality of Galan’s management and projects, and the success to date of implementing the Board’s robust strategy to deliver shareholder value. We sincerely thank investors for their strong support including the loyalty and confidence shown by our highly capable Board, staff and key consultants. We look forward to continuing to deliver results that will benefit our shareholders”