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

A woman's hand draws a stylised 'Top Ten' on a projected surface.
Share Gainers

Here are the top 10 ASX 200 shares today

It was another tough day for investors this Tuesday.

Read more »

A man sits in despair at his computer with his hands either side of his head, staring into the screen with a pained and anguished look on his face, in a home office setting.
Share Fallers

Why HMC Capital, Platinum, Sigma, and Skycity shares are dropping today

These shares are having a tough session on Tuesday. But why?

Read more »

A close-up photo of a ballot box with an Australian flag in front of it and a gentleman's hands placing his vote in the 2022 election inside the box
Share Market News

How these ASX 200 stocks are primed to gain from Labor's resounding Federal election win

With the Federal election in the rear-view, which ASX 200 stocks should I buy now?

Read more »

A man clenches his fists in excitement as gold coins fall from the sky.
Share Gainers

Why Dimerix, Evolution Mining, Inghams, and NextDC shares are charging higher today

These shares are rising when many are falling today. But why?

Read more »

Smiling young woman eating chocolate outdoors.
Share Market News

The See's Candies playbook for ASX investors

Two ASX businesses that remind me of Buffett’s sweetest investment.

Read more »

Man smiling at a laptop because of a rising share price.
Opinions

My 2 favourite ASX sectors to invest in

Finding your groove can help your investing success.

Read more »

Legendary share market investing expert and owner of Berkshire Hathaway Warren Buffett
Opinions

3 things I learned from Warren Buffett being the CEO of Berkshire Hathaway

The Oracle from Omaha is in his last year as CEO.

Read more »

A male ASX 200 broker wearing a blue shirt and black tie holds one hand to his chin with the other arm crossed across his body as he watches stock prices on a digital screen while deep in thought
Share Market News

5 things to watch on the ASX 200 on Tuesday

Here's what to expect on the local market today.

Read more »