The firm is looking to develop graphite mines in Sri Lanka and last month received a major boost after it was granted a mining license for its K1 graphite project - the final milestone before commercial production.
In the placing, the group plans to issue units at C$0.08 a throw. Each unit will consist of one share of Ceylon Graphite and one whole warrant.
Each warrant entitles the bearer to buy one company share for C$0.15 for two years from the date of issue.
Closing of the offer is subject to TSX Venture Exchange approval and is expected on or before September 30, or such other date as the company may determine.
The firm issued certain convertible debentures on May 23 last year at a conversion price of C$0.25 per share, which it plans to change to C$0.15 per share, it also revealed in Thursday's statement. That amendment too is subject to the approval of the TSX Venture Exchange.
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