- A$2 million raised via share placement to existing cornerstone investor
- Placement priced at $0.14 per share, an 8% premium
- Existing Malaysian shareholder MAA Group Berhad
- Funds applied to detailed design and engineering
The Placement shares will be issued at 14 cents per share, which represents an ~8% premium to the 12 April 2017 closing price of the Company's shares as traded on the Australian Securities Exchange (ASX).
Funds raised from the Placement will be applied to the completion of detailed design and engineering of the Company's proposed Malaysian high purity alumina (HPA) plant.
MAAG is a Malaysian publicly listed insurance, investment, credit and finance group and is an existing shareholder of Altech. Altech non-executive director, Tunku Yaacob Khyra is the executive chairman and majority shareholder of MAAG, consequently the placement shares to MAAG will be subject to the approval of Altech shareholders.
About Altech Chemicals Ltd
Altech Chemicals Limited (ASX:ATC) (FRA:A3Y) is aiming to become one of the world's leading suppliers of 99.99% (4N) high purity alumina (HPA) (Al2O3). HPA is a high-value product because it is the major source material for scratch-resistant artificial sapphire glass. Sapphire glass is used to produce a range of high-performance electronic applications such as LEDs, semi-conductors, phosphor display screens, as well as new emerging products such as smartphones and tablet devices. The global HPA market is approximately 19,040tpa (2014) and is expected to at least double over the coming decade.
Altech Chemicals Ltd