Piedmont Lithium (ASX:PLL) shares in trading halt after proposed US public offering

Piedmont Lithium Ltd (ASX: PLL) shares have been put into a trading halt after the mining company announced a US public offering.

| More on:
giant battery represented by battery next to world globe

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Lithium miner Piedmont Lithium Ltd (ASX: PLL) placed its shares in a trading halt today after announcing a US public offering. At the close of the previous day's trade, shares in the dual-listed company were selling for $1.055. 

Let's take a closer look at what Piedmont Lithium announced.

What did the company announce today?

In a statement to the ASX, Piedmont Lithium announced its plan "to conduct a U.S. public offering," of up to 1.5 million of its American Depository Shares (ADS). 1 ADS will be the equivalent of 100 of its ordinary shares. As mentioned, the company placed shares in a suspension in anticipation of further announcements.

JPMorgan Chase & Co. (NYSE: JPM), Evercore Inc (NYSE: EVR), and Canaccord Genuity Group Inc (TSE: CF) will be joint book-runners and lead underwriters for the offering. As part of the agreement between Piedmont Lithium and the underwriters, each will have a 30-day option to purchase an additional 225,000 at the issue price.

Proceeds from the offering will be used to fund an expansion of Piedmont Lithium projects. These projects include further mineral exploration and investments in Sayona Mining Ltd (ASX: SYA) and its subsidiaries.

Piedmont will make the offering pursuant to the US Securities and Exchange Commission (SEC) regulations.

The company did not declare the price of the ADSs in the statement.

Piedmont Lithium is one of the fastest-growing companies on the ASX

As previously reported, the growth in the Piedmont Lithium share price has been exponential. Significantly, in the space of only 12 months, its share price has grown an astronomical 1,523.08%. Piedmont, in addition to other ASX lithium miners, has been going gangbusters over the past year.

The Piedmont Lithium share price and the lithium commodity price are correlated with each other. According to the website Trading Economics, lithium has a going price of US $85,000.00 a tonne. In other words, its price has risen an incredible 82.8% in the year-to-date alone.

Furthermore, as demand for electric vehicles is set to increase, the price of lithium is expected to continue on its upward trajectory. Lithium is a major component in the manufacture of car batteries.

Piedmont Lithium has a market capitalisation of $1.5 billion.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the 'five best ASX stocks' for investors to buy right now. We believe these stocks are trading at attractive prices and Scott thinks they could be great buys right now...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

The silhouettes of ten people holding hands with their arms raised against the sky, as the sun rises or sets in the background.
Share Gainers

Here are the top 10 ASX 200 shares today

ASX shares finished the trading week on a high this Friday.

Read more »

A businessman stacks building blocks.
Technology Shares

6% gain! What's up with Block shares today?

Block shares are up more than 34% since 2 May.

Read more »

Broker looking at the share price.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A young man punches the air in delight as he reacts to great news on his mobile phone.
Share Gainers

Why ARB, Block, Mayne Pharma, and Paladin Energy shares are charging higher today

These shares are having a strong finish to the week. But why?

Read more »

A woman puts her hands up as she smashes and breaks through a glass ceiling.
Share Gainers

How these 5 ASX 200 stocks are smashing the benchmark this week

These fives ASX 200 stocks have made some very happy shareholders this week. Here’s how.

Read more »

Bored man sitting at his desk with his laptop.
Share Fallers

Why Catalyst Metals, Duratec, Nufarm, and Rio Tinto shares are dropping today

These shares are ending the week in the red. But why?

Read more »

A smiling woman at a hardware shop selects paint colours from a wall display.
Broker Notes

After its strategy day, what does Macquarie think Wesfarmers shares are worth?

Let's see what the broker is saying about this blue chip.

Read more »

Buy, hold, and sell ratings written on signs on a wooden pole.
Technology Shares

After surging 13% yesterday, are TechnologyOne shares a buy, hold or sell according to Macquarie?

Valuations matter when investing, and Macquarie feels no different.

Read more »