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Strategic Elements rare earth investment vehicle IPO garners interest and closes oversubscribed

Strategic Elements (ASX: SOR) has received strong support from the investment community with the company's IPO closing oversubscribed - as this is believed to be the world's first listed rare earths focus pooled development fund.

Strategic Elements has a very unique offering - with the company focus of investing into companies targeting potentially large scale rare earths and rare metal projects, and due to the pooled development fund status - most shareholders would pay no tax on capital gains or dividends.

The IPO offered 5 million shares at $0.20, with an allowance for oversubscriptions of up to another 15 million shares to raise up to a further $3,000,000.

Strategic Elements has over $2 million cash on hand and plans to invest into Australian companies across the rare earths and rare metals mining, processing and materials development sector.

The objective will be to discover economic deposits of rare earths, mine these minerals and develop them into value added materials.

In addition to exploration, Strategic Elements will also invest in mining, processing and materials development by providing capital, technical expertise and industry alliances to early stage small and medium sized Australian companies.

Strategic Elements also has signed an investment deed with New York based Bergen Global Opportunity Fund II (Bergen Global) giving the fund a right of first refusal to invest further equity in the company.



Originally published at: http://www.proactiveinvestors.com.au/companies/news/18383/strategic-elements-rare-earth-investment-vehicle-ipo-garners-interest-and-closes-oversubscribed-18383.html