Altech Batteries Limited Raises AU$4 Million to Propel Battery Projects

Highlights:

• AU$4 Million Capital Raise: Altech Batteries Limited (ASX: ATC) secured AU$4 million through an oversubscribed placement, issuing shares at a 50% premium to the recent Entitlement Offer.
• Advancing Battery Projects: Funds will expedite Altech’s CERENERGY® battery project and Silumina Anodes™ pilot plant, with a focus on project financing, prototype development, and commercial viability.
• Market Confidence: Strong shareholder interest reflects confidence in Altech's growth, with plans to explore a 4GWh factory to meet rising energy storage demands.

Capital Raise Overview

Altech Batteries Limited (ASX: ATC) recently announced a successful AU$4 million capital raise aimed at advancing its innovative battery projects, CERENERGY® and Silumina Anodes™. The capital raising, managed by Evolution Capital, involved issuing 66.7 million fully paid ordinary shares at AU$0.06 per share—a 50% premium compared to its Entitlement Offer price on August 7, 2024. Participants also received free attaching options (ASX: ATCOC) at an exercise price of AU$0.06, with an expiration of December 31, 2025. The shares and options are expected to be issued on November 22, 2024.

Utilizing Funds to Drive Key Projects

Altech’s recent capital injection is set to accelerate its battery technology initiatives. A significant portion of the funds will be directed towards project financing, bank due diligence, and securing offtake agreements for CERENERGY®. Additionally, funds are allocated for completing the second 60kWh CERENERGY® battery prototype and finalizing the commissioning of the Silumina Anodes™ pilot plant.

At the time of writing, Altech Batteries is making strides toward the commercial production of these battery projects. The CERENERGY® project, a 120MWh sodium-chloride battery, represents a key step toward Altech’s goal of building a 4GWh factory to meet growing global demand for sustainable energy storage solutions.

Shareholder and Market Interest

The placement garnered strong market interest, reflecting confidence in Altech’s strategic direction. Altech Managing Director Iggy Tan highlighted that the placement price, set at a premium to the recent Entitlements Issue, indicates Altech’s focus on rewarding shareholder value without further dilution at a lower price. This placement supports the company's ambition to drive commercialisation of its battery technologies in the near term, securing its position in the evolving energy storage market.

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