Details revealed in article just posted by the AFR:Small cap...

Details revealed in article just posted by the AFR:

Small cap fertiliser manufacturer Fertoz is tapping fund managers to raise $5 million to accelerate the development of its low emission, organic rock phosphate product.

The business, which has a market capitalisation of less than $50 million, was being paraded by JP Equity Partners on Tuesday.

Priced at 15¢ per share, the offer comes at a 40 per cent discount to its last trading price of 25¢ and a slight 0.6 per cent discount to its 15 day volume-weighted average price.

Fertoz claims that its fertiliser increases crop yields by 15 per cent, while also improving the sequestration rate of carbon dioxide.

As well as speeding up development, the company will use the funds from the capital raise to hire more carbon credit specialists to its local operations, expand its sales team in North America and bolster its working capital reserves by $2.64 million.

As well as increasing CO2 sequestration, the Fertoz rock phosphate product also produces lower emissions during the manufacturing process, compared to commercial fertiliser manufacturers that are typically high emitters.

The company is tightly held, with the top 10 shareholders controlling about 40 per cent of the business. Shareholders in the company include Bernard Stephens and his family, Boston First Capital, Malcolm Weber and specialist investment manager Terra Capital.