Brisbane-based battery upstart celebrates “heavily oversubscribed” share purchase plan

Brisbane based battery materials and technology company Novonix announced on Tuesday that it had raised $41.2 million in what it described as a “heavily oversubscribed” share purchase plan (SPP).

Novonix reported on Tuesday that it had received valid applications from eligible shareholders for 68.6 million fully paid ordinary shares, raising the company $41.2 million (before costs), well in excess of the $5 million target the company had originally hoped for.

The company’s SPP was priced at $0.60 per share, with eligible shareholders given the opportunity to apply for up to $30,000 worth of SPP shares.

Not everyone who responded to the SPP will be getting all that they asked for, however.

Given the show of support from investors, Novonix raised its SPP to $32.3 million, $27.3 million above its original target of $5 million. Valid applications were received from approximately 2,300 eligible shareholders for the total value of $41.2 million. The strong interest therefore necessitated a scaling back of valid applications.

In the end, then, Novonix has raised a total amount of $32.3 million.

“We were pleased to provide all of our eligible shareholders with the opportunity to participate in this offer,” said Admiral Robert Natter, chairman of Novonix.

“We received strong interest in the offer, allowing us to increase its size to $32.3 million. We thank our shareholders for their ongoing support of Novonix and its future.”

Novonix said that it will use the proceeds from its SPP to purchase, install, and commission additional equipment for its Riverside facility in Chattanooga, Tennessee, which will be used to support the further qualification of products for its contracts with Panasonic, Stellantis, and PowerCo.