Burley Minerals Ltd (ASX: BUR) has announced a non-renounceable pro rata entitlement offer to eligible shareholders, aiming to raise up to approximately $563,891 before costs. The offer, priced at $0.03 per new share, will allow eligible shareholders to purchase one new share for every eight existing shares held as of the record date. As an incentive, one free attaching option, exercisable at $0.05 by May 31, 2026, will be granted for every two new shares subscribed.
The funds raised are earmarked for geology, exploration, and studies across the Company’s projects, as well as for general working capital and to cover the expenses of the offer. Burley Minerals’ portfolio includes the Cane Bore, Broad Flat Wells, and Yerecoin Iron Ore Projects in Western Australia, and the Chubb Lithium Project in Quebec, Canada.
In conjunction with the entitlement offer, Burley Minerals announced a placement to existing and professional investors, raising $450,000 through the issue of 15,000,000 shares at $0.03 per share, along with attaching options. The entitlement offer is not underwritten, and there is no minimum subscription amount. Shortfall Securities may be offered to eligible shareholders or other investors, following the closing date.
The Company’s capital structure will be affected by the offers, with the number of shares on issue potentially increasing from 150,370,944 to 184,167,312, and the number of options on issue rising to 38,798,184 if the offers are fully subscribed. The offers present potential dilution for shareholders who do not participate, and there are various risks associated, including exploration, operating, environmental, and commodity price volatility.
The entitlement offer opens on April 30, 2025, and closes on May 9, 2025. Shareholders are advised to consult with professional advisors before making any investment decisions.
