Altona Rare Earths plc is preparing to raise £1.5 million ahead of listing on the main market of the London Stock Exchange.
FUNDRAISE
The company aims to raise approximately £1.25m via a placing and subscription by certain directors of the company and other investors.
In August 2022, Altona raised £1.1m but the admission process took longer than expected and the back-stop date passed, leaving the fundraise uncompleted and the company without the proceeds.
Altona said it was now at an “advanced stage” of its LSE listing process which was subject only to the Financial Conduct Authority’s final approval of a prospectus.
LOANS
The company has also signed a convertible loan agreement with Optiva Securities Ltd for up to £275,000, available to draw down immediately.
The money will help complete the mineral resource estimate (MRE) for the Monte Muambe project in northwest Mozambique.
On completion, Altona to increase its holding in Monte Muambe Mining Lda, the subsidiary which owns 100% of the exploration licence, to 51%.
Altona has extended the repayment date, from 31 January to 30 April 2023, for its existing £150,000 loan with Align Research Ltd.