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- Peak Resources (PEK) has entered back-to-back trading halts as it gets ready to execute a capital raise
- The company’s shares will remain in the halt until Wednesday, October 21, unless it announces the details early
- Looking at Peak’s finances, the company ended FY20 with a $7.6 million profit after income tax
- It also had around $2.5 million worth of cash in the bank on June 30, 2020
- Since the end of FY20, Peak has also announced some changes in management after CEO Rocky Smith announced he would be departing
- Peak Resources shares last traded for 3.3 cents each on October 14
Rare earth developer Peak Resources (PEK) has entered back-to-back trading halts as it gets ready to execute a capital raise.
The materials company’s shares will remain in the halt until Wednesday, October 21, unless it announces the details of the capital raise early.
A closer look at Peak’s finances reveals the business ended the 2020 financial year with a $7.6 million profit after income tax.
The profit is a considerable turnaround for the company, who ended FY19 with a $4.5 million loss after tax.
Along with the profit, Peak Resources also ended FY20 with just over $2.5 million worth of cash in the bank.
It burnt through around $2.9 million in operating activities in the same period, with the majority of that spent on supplier and employee payments.
Since the end of the 2020 financial year, Peak has also announced some significant changes to its management team.
CEO Rocky Smith announced in September he would be leaving the company next month, with his duties to be taken over by the wider executive team and directors.
Before today’s trading halts came into effect, shares in Peak Resources were trading for 3.3 cents each on October 14.
