Sigma Lithium Raises $136.7 Million Via Financing, Blackrock Takes 5.5% Stake
Sigma Lithium (TSXV: SGML) has closed its latest financing, raising substantially more funds than it initially set out to raise. The firm managed to raise gross proceeds of $136.7 million through two concurrent financings.
The figure raised by the company is significant, given they initially set out to raise just $60 million via a non-brokered private placement. However, demand for lithium is evidently high, with the company twice upsizing the financing to enable additional investors to participate in the offering.
A total of 11.6 million common shares of the company were sold under the offerings, at a price of $11.75 per share.
Included among the participants of the financing is BlackRock, whom invested a total of $64.2 million, a figure larger than the initial financing set out to be. The firm now has a 5.5% stake in Sigma, having purchased 4.4 million shares under the primary offering and acquiring a further 1.1 million shares under a secondary transaction with A10 Fund.
A10 Fund as a result now holds 47.4 million shares of Sigma, equating to a 47.7% stake in the company.
Funds from the offering are to be used to fully fund the construction of the phase 1 production plant and mine, and to develop phases 2 and 3 of the Grota do Cirilo Project. Funds are to be also used for general corporate purposes.
Sigma Lithium last traded at $12.72 on the TSX Venture.
Information for this briefing was found via Edgar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.
