Lynas Rare Earths completes $750m equity raise to drive 2030 strategy
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The news: Lynas Rare Earths has successfully completed its $750 million to drive its 2030 strategy, which includes expansion into the magnet supply chain.
The numbers: Under the fully underwritten institutional placement, Lynas Rare Earths priced the new shares at $13.25 This was a 10% discount to the last trade price of $14.73 and a 8.6% discount to the 10-day volume weighted average price on 27 August.
A share purchase plan that is aiming to raise up to $75 million is expected to open 5 September and close on 19 September. Eligible shareholders will be entitled to subscribe for up to $30,000 of new shares, which will also be issued at $13.25 each.
The context: Lynas released its Towards 2030 strategy on 28 August, which includes ambitions to grow the business by “adding resources and scale, increasing downstream capacity and expanding into outside China metal and magnet supply chain”.
Funding will also support optimising performance of the company’s 2025 investments by “ramping up assets in line with customer demand and growth”.
What they said: “We are very pleased with success of the Placement and the support we have received from existing shareholders and new high quality institutional investors,” Lynas Rare Earths CEO and managing director Amanda Lacaze said.
The source: ASX
