Portfolio company Keliber’s lithium project to receive financing
The new financing arrangement enables the progress of Keliber’s project.
The Boards of Directors of Finnish Minerals Group’s portfolio company Keliber and South-African company Sibanye-Stillwater have agreed upon the further financing of Keliber’s lithium hydroxide project in Central Ostrobothnia, Finland.
Sibanye-Stillwater is a well-established international operator. In addition to financing, Keliber benefits from Sibanye-Stillwater’s strong mining expertise and experience.
As Keliber’s largest shareholder, Finnish Minerals Group welcomes the planned arrangement, as it enables the progress of Keliber’s lithium project. The company aims to commence production in 2024.
The Board of Directors of Keliber will propose to the Extraordinary General Meeting a share issue, where Sibanye-Stillwater will subscribe to Keliber shares for a total of EUR 15 million and current shareholders have the opportunity to subscribe to shares for EUR 10 million pro rata, i.e. in proportion to their shareholding. In addition, Sibanye-Stillwater has the option to subscribe to Keliber shares for a total of EUR 15 million within the next 12 months.
The investment made by Finnish Minerals Group in the arrangement would total a minimum of EUR 2.63 million. Finnish Minerals Group is also prepared to make an additional investment of up to EUR 7.37 million in case the other current shareholders of the company do not exercise their subscription rights in full.
Finnish Minerals Group currently holds a 26.3 per cent stake in Keliber. After the financing arrangements in spring 2021, the holding will be between 21.5–30.3 per cent.