The share price of ASX-listed Magnis Energy Technologies [ASX:MNS] is up today after its subsidiary, Imperium3 New York Inc (iM3NY), completed a US$100 million intellectual property-based financing.
Magnis is a major shareholder in iM3NY, along with its joint venture and technology partner Charge CCCV (C4V). Magnis also has 100% interest in the Nachu Graphite Project in Tanzania and is planning to build two battery plants, one in New York and another in Australia.
US$100 million to refinance debt and fast-track growth
iM3NY completed the US$100 million IP-based financing in partnership with Atlas Credit Partners and Aon. This is a three-year loan facility which gives the company additional capital cost reductions as it hits different milestones.
With the new loan, the company is planning to refinance their US$50 million four-year Riverstone senior secured loan the company obtained last year in April.
The company said it’s made ‘significant progress in the construction of the initial phase of its first Gigawatt scale factory’ in the last year and is planning to use part of that money to speed up its growth plans.
iM3NY Chairman and President of C4V Dr Shailesh Upreti said:
‘While intellectual property is the lifeblood of any technology company driving majority of the value, its importance in a highly crowded market like Lithium-ion batteries is even more consequential. We continue to remain at the forefront of innovation by pioneering the next generation chemistry, industry leading advanced cell designs and processes as well as the associated supply chain.’
Investors liked the announcement
The announcement boosted Magnis’ share price, which at time of writing is trading at 0.49, up 6.5% from yesterday’s close.
Regards,
Selva Freigedo
PS: It’s certainly a good time to get into lithium with prices at record highs and Europe looking to accelerate its energy transition.
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