Rainbow Rare Earths Limited Issue of Shares to TechMet (9822S)
19 November 2021 - 9:27PM
UK Regulatory
TIDMRBW
RNS Number : 9822S
Rainbow Rare Earths Limited
19 November 2021
FOR IMMEDIATE RELEASE
Rainbow Rare Earths Limited
("Rainbow" or the "Company")
(LSE: RBW)
19 November 2021
Issue of conditional 10 million new Ordinary Shares at 15p per
share from October 2021 placing
Rainbow is pleased to announce that, further to the placing
announcement dated 13 October 2021 and the results of the Annual
General Meeting ("AGM") announced 18 November 2021, the 10 million
new ordinary shares of no par value each in the Company ("Ordinary
Shares") conditionally placed with TechMet Limited in the October
2021 placing have now been issued (the "Conditional Shares") .
TechMet Limited, a private industrial company that is building
strategic positions in world-class projects across the technology
metals supply chain and counts the U.S. International Development
Finance Corporation (an agency of the U.S. government that invests
in overseas development projects) as a major investor, subscribed
for 15 million new Ordinary Shares in the placing announced on 13
October 2021. The initial 5 million new Ordinary Shares were
admitted to trading in October 2021, with a further 10 million new
Ordinary Shares to be admitted to trading subject to shareholder
approval. Such approval was received at the Company's AGM held on
17 November 2021.
George Bennett, Chief Executive Officer of Rainbow, said:
"We are very encouraged by the strong support we received at our
recent fundraising and are pleased to issue the final 10 million
Conditional Shares from that placing now that shareholder approval
has been obtained. With its stringent investment criteria and its
goal to secure the critical metals for the global technology
revolution, we welcome the substantial investment by TechMet, which
counts the U.S. government as a major investor.
We believe that demand for rare earths required in permanent
magnets is poised for continued strong growth, as evidenced by the
85% increase in the price of both Neodymium and Praseodymium oxide
between November 2020 and September 2021. With our diversified
asset portfolio, which includes the exciting near-term growth
opportunity presented by the Phalaborwa Project in South Africa,
Rainbow is uniquely positioned to deliver into this growing
market."
Total voting rights and Admission
An application has been made for the 10,000,000 Ordinary Shares
issued following shareholder approval at the AGM to be admitted to
the Official List (by way of a Standard Listing) and to trading on
the London Stock Exchange Plc's Main Market for listed securities
("Admission"). It is expected that Admission will become effective
and that dealing in the Conditional Shares will commence on or
around 25 November 2021. The Conditional Shares will rank pari
passu with the existing Ordinary Shares. Following Admission of the
Conditional Shares, the Company will have 521,811,434 Ordinary
Shares in issue.
The above figures of 521,811,434 Ordinary Shares may be used by
shareholders as the denominator for the calculations by which they
will determine if they are required to notify their interest in, or
a change to their interest in, the Company under the FCA's
Disclosure, Guidance and Transparency Rules.
**ENDS**
For further information, please contact
Rainbow Rare Earths George Bennett +27 82 652 8526
Ltd Company Pete Gardner +44 (0) 771 779 4251
SP Angel Corporate Ewan Leggat
Finance LLP Broker Charlie Bouverat +44 (0) 20 3470 0470
--------- ------------------- --------------------------------------
Flagstaff Strategic Tim Thompson +44 (0) 207 129 1474
and Investor Communications Fergus Mellon rainbowrareearths@flagstaffcomms.com
------------------ --------------------------------------
Notes to Editors:
Rainbow's strategy is to become a globally-significant producer
of rare earth metals. Nd/Pr are vital components of the strongest
permanent magnets used for the motors and turbines driving the
green technology revolution. Analysts are predicting demand for
magnet rare earth oxides will grow substantially over the coming
years, driven by increasing adoption of green technology, pushing
the overall market for Nd/Pr into deficit.
The Phalaborwa Rare Earths Project, located in South Africa,
comprises an Inferred Mineral Resource Estimate of 38.3Mt at 0.43%
total rare earths oxides ("TREO") contained within gypsum tailings
stacked in unconsolidated dumps derived from historic phosphate
hard rock mining. High value Nd/Pr oxide represent 29.1% of the
total contained rare earth oxides, with economic Dysprosium and
Terbium oxide credits enhancing the overall value of the rare earth
basket contained in the stacks. The rare earths are contained in
chemical form in the gypsum dumps, which is expected to deliver a
higher-value rare earth carbonate, with lower operating costs than
a typical rare earth mineral project.
The Company's Gakara Project in Burundi has produced one of the
highest-grade concentrates in the world (typically 54% TREO)
through trial mining operations. The Gakara basket is weighted
heavily towards Nd/Pr, which account for over approximately 19.5%
of the contained TREO and 85% of the value of the concentrate.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
IOEBKLFFFFLLFBZ
(END) Dow Jones Newswires
November 19, 2021 05:27 ET (10:27 GMT)
Rainbow Rare Earths (LSE:RBW)
Historical Stock Chart
From Mar 2024 to Apr 2024
Rainbow Rare Earths (LSE:RBW)
Historical Stock Chart
From Apr 2023 to Apr 2024
