- Pearl Global (PG1) is seeking to raise $3 million for the development of its Stapylton site in Queensland
- In connection with the placement, 150 million shares will be issued at two cents per share
- The funds will also help complete the transition to efficient, large-scale commercial operation.
- The company has also appointed Andrew Cook as Chief Financial Officer (CFO) following David Wheeley’s start as CEO on January 30.
- PG1 shares hold steady at two hundred
Pearl Global (PG1) intends to raise $3 million through a placement with institutional, sophisticated and professional investors to develop the current site in Stapylton, Queensland.
The Stapylton site is where the company’s unique technology sees end-of-life tires converted into sustainable, clean energy and high-value raw materials.
Under the two-tranche offering, 150 million shares will be issued at two cents per share, the same as the non-waiver pro rata right offering made to existing shareholders in December 2021.
PG1’s major shareholder, ROC Asset Management (ROC), will subscribe for $500,000 via 25 million shares and company 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 issuance and listing of the shares scheduled for May 12.
The general meeting of shareholders to approve the placement of Tranche 2, the issuance of ROC shares and the participation of directors, is expected to be held in mid to late June 2022 with issuance and listing within a week of the general assembly.
The funds will be directed towards the development and installation of infrastructure and equipment for the current Stapylton, Queensland site, general working capital and show costs.
These funds will complete the transition to efficient, large-scale commercial operation.
Pearl Global said it does not expect to require additional capital for operations at the Stapylton site based on its current plans and projections and is currently on track to meet the targets for quarterly improvement.
The company has also appointed Andrew Cook as Chief Financial Officer (CFO) following the appointment of David Wheeley as CEO on January 30.
Mr. Cook is a Chartered Accountant and has extensive experience in the manufacturing, utilities and professional services sectors, both internationally and in Australia. He has held various management positions in finance, trading and transformation at Energy Queensland, SABMiller and PwC.
PG1 shares were flat at two cents as of 10:39 a.m. AEST.