Non-Renounceable Issue
Sydney, Oct 30, 2015 AEST (ABN Newswire) - Fertoz Ltd. ("Fertoz" or the "Company") (
ASX:FTZ) is pleased to announce a one (1) for seven (7) fully underwritten non-renounceable entitlement offer of fully paid ordinary shares in Fertoz, together with one (1) new free option for every one (1) new share subscribed for under the Entitlement Offer. Each new option is exercisable for one (1) share at $0.15 ("Entitlement Offer"). Fertoz lodged the prospectus for the Entitlement Offer with the Australian Securities and Investments Commission today.
The Entitlement Offer is intended to raise approximately $1,000,000.
If the Entitlement Offer is oversubscribed or Fertoz receives interest from third party investors, Fertoz may, in its absolute discretion, raise up to an additional $840,000 by way of the issue of new shares at $0.15 per new share, together with one (1) new option free of charge for every one (1) new share subscribed for by investors nominated by Company in consultation with the Underwriter (Discretionary Placement).
The Entitlement Offer is fully underwritten by Blackwood Capital Pty Ltd (Underwriter). The Underwriter has appointed sub-underwriters. The sub-underwriters include Terra Capital Pty Ltd (a substantial shareholder of Fertoz), and Lenark Pty Ltd, a company associated with the Executive Chairman, James Chisholm.
Stephen Keith, Managing Director of Fertoz, stated "The Board of Directors of Fertoz is very pleased with both our ability to finance in this volatile market and with the support of our existing shareholders in this. This financing represents a critical catalyst for Fertoz as we move into project development and a view towards product sales in 2016. Moving forward, our strategy is to focus on getting Wapiti into production and getting our Fernie projects further down the development process with increased exploration, development and bulk sampling."
A maximum of 12,319,164 new shares and 12,319,164 new options may be issued under the Entitlement Offer and Discretionary Placement. New shares issued under the Entitlement Offer and Discretionary Placement will rank equally with existing ordinary shares.
The net proceeds of the Entitlement Offer will be used to enhance the value of Fertoz's Canadian phosphate projects through purchase of equipment that will allow the Company to process mined rock phosphate from the Company's Wapiti and Fernie Projects in Canada and sell direct application rock phosphate (also known as direct application natural fertilizer) to potential customers in North America, further bulk sample collection at the Fernie Project and to cover general corporate costs.
Eligible shareholders will receive the Prospectus in relation to the Entitlement Offer and Discretionary Placement including a personalised entitlement and acceptance form which will provide further details of how to participate in the Entitlement Offer. A copy of the Prospectus will also be lodged with ASX today and will then be available on both the ASX website and the Company's website. Persons should consider the Prospectus before deciding whether to acquire securities.
Those shareholders who the Company determines to be ineligible shareholders will also be notified that they are ineligible to participate in the Offer.
To view the timetable, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-FTZ-888576.pdf
About Fertoz Ltd
Fertoz (ASX:FTZ) is an Australian-based phosphate exploration and development company with a range of projects in British Columbia, Canada as well as Queensland and the Northern Territory. The Company is focused on becoming a fertiliser producer as quickly as possible, initially focusing on the Canadian/USA markets.
Fertoz plans to develop its exploration assets in Canada in order to identify any potential Direct Shipping Ore (DSO) projects. It intends to seek joint venture partners to assist in funding the exploration projects in Australia.
Phosphate is a commodity necessary for feeding the world, and Fertoz is ready to capitalise on this growing demand.
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