UPDATE 2.20pm: Rare earths miner Lynas Corporation hopes to raise up to $40 million from investors to bolster its working capital reserves.
Lynas, which placed its shares in a trading halt last week, said it would launch a fully underwritten share purchase plan to raise at least $30 million.
It could also raise up to another $10 million using a "top up" share placement.
Chairman Nicholas Curtis said the money would provide a solid financial base for Lynas and address any liquidity concerns the market might have.
"The equity raising will secure our short-term working capital requirement," he said.
Lynas also said it would again alter the terms of its Sojitz/JOGMEC debt facility.
Lynas shares closed down 1.5 cents, or 9.09 per cent, at 15 cents.