Almonty Industries Inc. Announces That It Now Has Cash in Hand and Binding Commitments From Existing Shareholders and Insiders of US$9,590,000. The Company Also Announces the Prospectus for Admission to the ASX Is Nearing Completion.
Almonty Industries Inc. (“Almonty” or the “Company”) (TSX: AII / OTCQX: ALMTF / Frankfurt: ALI.F) is pleased to announce that it has closed two previously anticipated private placements and secured binding commitments from existing shareholders and insiders on a convertible debenture. The private placements were agreed prior to the recent appreciation of the share price with existing European shareholders and the Company felt that it was appropriate to honor the price agreed from that time. The pricing was for 2,000,000 shares at $0.85 per share and 308,333 shares at $0.90 per share for a grand total of US$1,579,358. The Company has also procured an additional US$8,010,642m of executed binding commitments from existing shareholders and insiders, linked to an unsecured 5% p.a. convertible debenture with a $1.05 strike price. The binding funding trigger for this convert is 5 business days prior to the financial close of the KfW-IPEX US$75.1m loan which is now due to occur shortly.
The prospectus for the ASX Listing is nearing completion and will be submitted to the Australian Securities and Investment Commission and ASX around the same time as the Company’s audited financials are filed and released shortly.
Almonty’s Chairman, President and CEO Lewis Black commented:
“As a shareholder owning more than 20,000,000 shares of the Company, I cannot state enough the importance to all shareholders that the financing of our Sangdong project had to be done in a way that ensured the maximum value upside was preserved for the benefit of all of our shareholders, both large and small. Every one of our shareholders have played an essential part in seeing this happen. The longevity of our Sangdong project meant this financing had to be constructed in a way to ensure that all shareholders will be able to benefit from the enormous value contained in this longevity. From major shareholders like the Plansee Group who have committed nearly US$40m to this financing, and Deutsche Rohstoff who, as an insider, has stood shoulder to shoulder with the Almonty team to fight to preserve this current and future value for all shareholders with their constant participation, to our smaller retail shareholders whose patience and commitment have now seen the value of their investments continue to increase and will do so for many years to come as the value that we have preserved is continually released. What all our shareholders have achieved through their commitment is to have put the Sangdong project on the best possible footing for success. I will update the market next week on the first major phase construction that will be scheduled to commence shortly. I congratulate and thank each and every shareholder.”