Magnetite Mines Limited (ASX: MGT), an ASX-listed iron ore company focused on developing magnetite iron ore resources in South Australia, has announced that its renounceable rights issue, initially announced on August 8, 2025, officially opened on August 15, 2025. The company aims to raise up to $2.65 million before costs through this initiative.
The rights issue offers eligible shareholders the opportunity to purchase new shares at $0.065 per share on a 1-for-3 pro rata basis. Each new share comes with one free attaching option, exercisable at $0.12 with a term of 2.5 years, which will be quoted on the ASX. Shareholders who do not wish to participate can sell their entitlements on the ASX under the code MGTRG, with trading available until August 22, 2025. The company advises shareholders to consult with their financial advisors if they intend to trade their rights.
Mahe Capital Pty Ltd, the underwriter for the rights issue, has agreed to increase the underwriting to $2 million. Managing Director Tim Dobson stated the additional underwriting support comes after the release of new information regarding rare earth mineralisation identified at the company’s Ironback Hill Project. The Rights Issue is scheduled to close at 5:00 PM on Friday, August 29, 2025, with eligible shareholders able to apply for additional shares exceeding their entitlement under the Shortfall Offer.
All new shares issued will rank equally with existing shares. The company will apply for quotation of the new shares and attaching options on the ASX. For questions, shareholders can contact the company’s share registry or consult with their financial advisor.
