Li3 Energy, Inc. completed a private placement offering of 1.76 million units to a group of accredited and institutional investors at a price of $0.25 per unit. The company raised $440,000 in gross proceeds in this phase of the offering.
Li3 Energy, Inc. said there was strong demand for the offering. The entire private placement consisted of the sale of 14 million units, raising $3.5 million in gross proceeds.
The units issued by Li3 Energy, Inc. consisted of one share of common stock and two warrants. The first warrant entitles the holder to purchase one half of a share of common stock at a price of $0.50 per whole share, and the second warrant entitles the holder to purchase one half of a share of stock at a price of $1.00 per whole share. Both warrants have a term of five years.
Luis Saenz, the CEO of Li3 Energy, said, “We are very pleased to announce the final closing of our private placement and we are very happy with the results of our ability to raise capital under current market conditions.”
Li3 Energy, Inc. is an alternative energy company that is focused on the Lithium mining business. The company will use the proceeds to purchase two mining companies in South America.