Tirupati Graphite has refuted claims that it plans to become a private company, emphasizing its commitment to remain on the London Stock Exchange, which it believes is instrumental in its business growth.
The company, in its recent update, mentioned that it is actively exploring options to raise the remaining £1 million needed for working capital. This capital is crucial to achieving its immediate production goal of consistently producing 1,500 to 1,600 tons of graphite per month.
Part of these efforts includes discussions with the government of Madagascar regarding a US$2 million VAT refund. Tirupati is increasingly optimistic about the timely reimbursement of these funds.
Furthermore, Tirupati is negotiating working capital facilities with its Malagasy bankers, bolstered by a personal guarantee from the executive chairman, Shishir Poddar.
The company is also conducting due diligence with development finance groups (DFIs) to finance an increase in production. The immediate goal is to expand graphite production in Madagascar to 36,000 tons per annum (tpa), and subsequently to 54,000 tpa, by adding a new 18,000 tpa module.
Shishir Poddar commented on the company’s progress since joining the London Stock Exchange in December 2020, highlighting the significant milestones achieved and the operational challenges overcome.
He stressed the company’s focus on securing the necessary working capital to increase production, aiming to make Tirupati the first profitable junior graphite company outside China. Poddar reaffirmed the company’s dedication to remaining a public entity and its commitment to the London market.
