TECHNOLOGY MINERALS PLC (Alliance News) - Technology Minerals PLC on Friday said it entered into a GBP4.0 million convertible bond facility to support its growth strategy.
London-based Technology Minerals is a company focused on creating a circular economy for battery metals. It entered into a convertible bond facility with Macquarie Bank Ltd and investment fund Atlas Capital Markets LLC.
Technology Minerals said the facility will be used to ramp up of the first phase of operations at its lead-acid battery recycling plant in Tipton, in the West Midlands, and to prepare the start of industrial-scale processing through an automated plant, following approval from the Environmental Agency.
Technology Minerals added that the facility will support operating costs and capital expenditure required to accelerate the company's growth strategy to create a circular economy for battery metals to "capture the industrial scale opportunity" for recycling lithium-ion and lead-acid batteries.
In the year that ended June 30, Technology Minerals recorded a pretax loss of GBP1.8 million. Administrative expenses in financial 2022 were GBP1.7 million, and costs from its initial public offering were GBP146,000. Corporate and other operating expenditure were GBP1.9 million, and exploration expenditure amounted to GBP892,000.
The company started trading on the London Stock Exchange in November 2021.
The facility can be drawn in eight tranches of up to GBP500,000. Macquarie Bank and Atlas Capital will purchase the convertible bonds at a fixed price equal to 95% of the principal amount, and Macquarie Bank will purchase the first tranche.
Technology Minerals shares were down 4.3% to 1.60 pence each on Friday afternoon in London.
By Jaskeet Briah, Alliance News reporter
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