Retail Entitlement Offer Heavily Oversubscribed
The Entitlement Offer comprised an accelerated institutional component (Institutional Entitlement Offer) and a retail component (Retail Entitlement Offer).
As previously announced, a total of approximately 82.69 million New Shares have been issued to applicants under the Institutional Placement and the Institutional Entitlement Offer, on 5 June 2020, at an issue price of $0.29 per New Share (Offer Price).
The Retail Entitlement Offer closed at 5.00pm (Sydney time) on 18 June 2020. The offer was heavily oversubscribed with applications under the top-up facility significantly exceeding the New Shares available under the Retail Entitlement Offer. As a result, only a very small amount of shortfall was available for allocation ($1.3 million or 3.3%).
The Board wants to recognize the support of the shareholders who took their rights in full and applied under the top-up facility and also the priority sub-underwriters who have also been long-term supporters of the company and whose early support provided confidence to launch the transaction when market conditions were very different.
As a result and in accordance with the allocation policy disclosed in the Retail Entitlement Offer booklet, the Board believed it fair and appropriate to allocate a portion of the small amount of shortfall to each qualifying shareholder applying for top-up, with the balance to each priority sub-underwriter on a prorata basis. Accordingly, the Board has resolved to allocate up to the lesser of an additional 1,724 New Shares or the top-up application to each eligible shareholder applying for New Shares under the top-up facility with the remaining 3,609,650 New Shares allocated pro-rata to Priority Sub-Underwriters.
Refunds in respect of scaled back applications under the top-up facility will be paid to retail shareholders on or around 26 June 2020. The issue of New Shares under the Retail Entitlement Offer (including topup Shares) will occur on 25 June 2020, with the dispatch of holding statements to occur on 26 June 2020.
New Shares issued under the Retail Entitlement Offer are expected to commence trading on ASX on 26 June 2020. Shareholders wishing to trade any New Shares prior to receiving their holding statement should confirm their allocation before doing so.
About NOVONIX Ltd
NOVONIX Ltd (ASX:NVX) (FRA:GC3) is an integrated developer and supplier of high performance materials, equipment and services for the global lithium-ion battery industry with operations in the USA and Canada and sales in 14 countries.
NOVONIX is majority-owner of the PUREgraphite battery anode material Joint Venture, headquartered in Chattanooga, Tennessee, USA.
NOVONIX's mission is to accelerate the adoption of batteries for a cleaner energy future.