Vanadium Resources Limited (ASX:VR8) Secures A$783k via Convertible Note Issue
Convertible Note Funding Secured
Vanadium Resources Limited (ASX:VR8) has secured A$783,000 through a convertible note issue, comprising cash and debt conversion. The funds will support working capital and the advancement of strategic equity partnerships for the world-class Steelpoortdrift Vanadium Project.
Use of Funds
The A$783,000 will be allocated towards ongoing working capital ($637,200), corporate finance advisory fees to GC Partners Asia ($138,000), and capital raising fees to brokers ($7,800). The company will maintain cost-reduction initiatives implemented in Q4 CY2024 to maximise its operational runway.
Investor Participation
Directors Jurie Wessels and Michael Davy have subscribed for A$150,000 of the loan notes, subject to shareholder approval and any necessary ASX waivers, including listing rule 10.1 if required.
Executive Comments
Executive Chairman Jurie Wessels stated, “We are pleased to secure this funding in what remains a challenging market. This capital will allow us to continue ongoing discussions in relation to potential strategic equity investor interest and/or joint ventures. The structure of the convertible note aims to provide minimal dilution to existing shareholders, reflecting our commitment to protecting shareholder value.”
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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