Brazil Potash, which is developing a potash mining project in Brazil's Amazon basin, lowered the proposed deal size for its upcoming IPO on Monday. In its latest filing, the company also changed its proposed listing exchange from the NYSE to the NYSE American.
The Toronto, Canada-based company now plans to raise $40 million by offering 2.4 million shares at a price range of $15 to $18. The company had previously filed to offer 4.3 million shares at the same range. At the midpoint, Brazil Potash will raise 44% less in proceeds than previously anticipated.
Brazil Potash is a mineral exploration and development company focused on a potash mining project in the state of Amazonas, Brazil. The company is currently in the pre-revenue development stage, working to obtain the necessary permits and licenses to start construction on the project. Once operational, it plans to extract and process potash ore from an underground mine and sell the potash fertilizer domestically within Brazil, aiming to reduce the country's heavy reliance on imported potash. The company believes its strategic location near the Amazon river system and connection to Brazil's national power grid will give it a cost and carbon emissions advantage over international potash suppliers.
Brazil Potash was founded in 2006 and plans to list on the NYSE American under the symbol GRO. Cantor Fitzgerald, Bradesco BBI, Freedom Capital Markets, and Roth Capital are the joint bookrunners on the deal.
