- Pearl Global (PG1) looks to raise $3 million for the development of its Stapylton site in Queensland
- Under the placement, 150 million shares will be issued at two cents per share
- Funds will also allow the completion of the transition to a full scale, efficient, commercial operation
- The company has also appointed Andrew Cook as Chief Financial Officer (CFO) following the commencement of David Wheeley as CEO on January 30
- PG1 shares hold steady at two cents
Pearl Global (PG1) intends to raise $3 million through a placement to institutional, sophisticated and professional investors towards the development of the current site at Stapylton, Queensland.
The Stapylton site is where the company’s unique technology sees end of life tyres converted into sustainable, clean energy and high value raw materials.
Under the two-tranche placement, 150 million shares will be issued at two cents per share, the same as the pro-rata non-renounceable entitlement offer made to existing shareholders in December 2021.
PG1’s cornerstone shareholder, ROC Asset Management (ROC), will subscribe for $500,000 via 25 million shares and the company’s Chairman Mike Barry will subscribe for $100,000 via 5 million shares on the same terms as the placement on the second tranche, subject to shareholder approval.
Settlement of Tranche 1 of the placement is expected to occur by May 11 with the issue and quotation of the shares expected on May 12.
The general meeting of shareholders to approve the Tranche 2 placement, the issue of shares to ROC and Director participation, is expected to be held in mid to late June 2022 with issue and quotation in the week following the general meeting.
Funds will be directed towards the development and installation of infrastructure and equipment for the current site at Stapylton, Queensland, general working capital and costs of the issue.
These funds will enable the completion of the transition to a full scale, efficient, commercial operation.
Pearl Global has said it is not expecting to require further equity funding for the Stapylton site operations based on its current plans and projections and is is currently on track to deliver the quarterly improvement goals.
The company has also appointed Andrew Cook as Chief Financial Officer (CFO) following the commencement of David Wheeley as CEO on January 30.
Mr Cook is a chartered accountant and has broad experience across the manufacturing, utilities and professional services sectors both internationally and in Australia and has held a range of senior finance, commercial and transformation positions at Energy Queensland, SABMiller and PwC.
PG1 shares held steady at two cents as od 10:39 am AEST.