BPH Global Ltd (ASX: BP8), a company focused on developing and commercialising sustainable solutions, has announced it has successfully raised $1.1 million through a private placement. The funds are earmarked to accelerate the growth of its seaweed operations in Indonesia and support ongoing research and development initiatives. The placement involved the issue of 550,000,000 fully paid ordinary shares at a price of $0.002 per share, along with one free attaching option for every two shares allotted.
According to Managing Director Matthew Leonard, the strong demand for the placement strengthens the company’s balance sheet. Approximately $700,000 of the raised capital will be directed towards purchasing seaweed and bolstering operations in Indonesia, with $200,000 allocated to R&D projects. These projects are focused on developing high-margin products within the seaweed sector.
The placement will occur in two tranches, with the first tranche comprising 250,000,000 shares issued under the company’s existing share issuing capacity. The second tranche, consisting of up to 300,000,000 shares, is subject to shareholder approval at the company’s Annual General Meeting (AGM) this November. As part of the second tranche, Director Francesco Cannavo is seeking approval for the issuance of 25,000,000 placement shares to associated entities, raising $50,000.
BPH Global intends to use the remaining funds for working capital ($140,000) and to cover the costs of the offer ($60,000). Sanlam Private Wealth and Novus Capital acted as joint lead managers for the placement and will receive a 6% capital raising success fee plus GST. Both firms will also receive 5,000,000 BP8 shares, subject to shareholder approval at the AGM.
