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Cadence raises £1.3M for Australian lithium exploration

Cadence Minerals (AIM:KDNC) has raised £1.3 million (US$1.7 million) through a placing to fund initial exploration on its Australian lithium assets, ongoing due diligence and project review across several other potential investments.
Cadence raises £1.3M for Australian lithium exploration Cadence raises £1.3M for Australian lithium exploration Cadence raises £1.3M for Australian lithium exploration Cadence raises £1.3M for Australian lithium exploration Cadence raises £1.3M for Australian lithium exploration

Cadence will use some of the funds from the placing to explore for lithium in Australia

Staff reporter

Earlier this month, Cadence picked up a 4% exposure to three lithium prospects in Australia as part of earn-in deal with two private companies, Lithium Technologies and Lithium Supplies, that was originally focused on Argentina.

It placed 866.7 million new ordinary shares at an issue price of 0.15p per share, representing a 21% discount on Monday's closing price of 0.18p/share.

WH Ireland arranged the placing in exchange for certain customary warranties and indemnities that favour it, although it has not underwritten the placing nor subscribed for any shares itself.

After the admission, Cadence will have 8.7 billion ordinary shares on issue.

The company's shares dropped 13.57% Tuesday after the news to 0.16p/share, on par with levels seen six months ago, but less than half the value of the year-to-date high of 0.38p seen last week.