(Alliance News) - CleanTech Lithium PLC shares dropped on Friday, after it said it has raised GBP12.3 million through an "upsized" placing and retail offer.

On Thursday, the Jersey-based lithium exploration and development company focused on Chile announced a placing to raise about GBP10 million, through the issue of shares priced at 47 pence each. The placing rice represents a 19% discount to the shares closing price of 58.25p on Wednesday, being the last business day before the placing announcement.

Its shares were down 11% to 46.88 pence each in London on Friday afternoon.

The company also said it planned to raise up to GBP500,000 through a retail offer at the issue price.

On Friday, CleanTech said it had raised GBP12.3 million, through the issue of 25.5 million placing shares and 568,343 retail offer shares.

The company explained that the placing was upsized due to investor demand.

The fundraising is subject to shareholder approval at the company's general meeting, which is expected to be held on November 14.

Chief Executive Aldo Boitano said: "The new funds will enable the company to progress our resource evaluation programmes on all three of our projects and will also allow us to undertake additional drilling activities at Llamara, should we have success on the exploration well."

By Sophie Rose; sophierose@alliancenews.com

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