Lynas Corp. Ltd. said Aug. 17 that it intends to raise A$425 million through a fully underwritten pro rata accelerated non-renounceable entitlement offer and institutional placement aimed at funding projects expected to be delivered in 2023.

The projects include the planned Kalgoorlie rare earth processing facility, which will produce mixed rare earths carbonate for shipment to the Gebeng plant in Malaysia, and associated upgrades at the Gebeng plant.

The 1-for-7.7 non-renounceable entitlement offer consists of about 92.9 million new shares to raise up to approximately A$213.7 million, while the institutional placement consists of about 92 million new fully paid ordinary shares to raise up to approximately A$211.6 million.

The shares to be offered will be priced at A$2.30 apiece, representing an 11.9% discount on the last traded price of A$2.61 on Aug. 14.

Separately, Lynas said that its full fiscal year 2020 revenue was A$305.1 million, down from A$363.5 million in the previous fiscal year, due to production suspensions and weak market conditions. The company's EBITDA declined to A$59.8 million from A$100.7 million while total sales volume declined to 14,172 tonnes of rare earths oxide from 19,154 tonnes.