29Metals has successfully completed the retail component of its entitlement offer of its new fully paid ordinary shares.
The company first launched a fully underwritten entitlement offer to raise $151 million on August 30. The next day, it completed the institutional component of the offer.
The retail component of the offer closed September 25 at 5pm AEST, with valid applications received for about 4.2 million new shares. It raised around $29 million at the offer price of $0.69 per new share.
“Completion of the retail entitlement offer represents the final stage of the entitlement offer following successful completion of the institutional component of the entitlement offer which closed on August 31 and raised gross proceeds of approximately $122 million,” 29Metals said.
The settlement of the retail entitlement offer is scheduled for September 29 with the new shares expected to be allocated on October 2.
When announcing the offer on August 30, 29Metals managing director and chief executive officer Peter Albert said that the funds are expected to go toward the Capricorn copper mine recovery plan and near-term Golden Grove capital projects.
“The equity raising announced today will enable the company to fund the Capricorn copper recovery plan and also provide a platform for the company to complete key growth initiatives,” Albert said.
“We are pleased that the Capricorn copper recovery plan continues to progress, with dewatering and rehabilitation expected to enable targeted full recovery of operations by mid 2024.”
Record seven-metre flooding forced 29Metals to suspend operations at its Capricorn copper mine in Queensland in March of this year.