Midas Minerals Ltd (ASX: MM1) has announced it has received firm commitments for an $11.5 million placement to advance the Otavi Copper Project. The placement, priced at $0.37 per share, garnered strong support from both new and existing institutional shareholders. Midas Minerals is a junior mineral exploration company with a primary focus on copper and precious metals. The company’s board and management aim to deliver value for shareholders through mineral discoveries and mine development, growing microcap explorers into successful ASX-listed entities.
The proceeds from the placement will be primarily allocated to the acquisition costs associated with the Otavi Copper Project in Namibia. A portion of the funds will also be directed towards accelerating exploration activities at both the Otavi and South Otavi Projects. Midas has already commenced a 3,000-metre drill program at South Otavi, consisting of approximately 100 holes. The company noted that this program may be upsized should results warrant further investigation.
The issue price of $0.37 per share represents a discount of 8.6% to the last traded price of $0.405 on September 15, 2025. It also reflects a 10.7% discount to the five-day volume weighted average price (VWAP) of $0.414 and a 0.5% premium to the 15-day VWAP of $0.368. Canaccord Genuity (Australia) Limited acted as Lead Manager for the placement, with Euroz Hartleys Limited serving as Co-Lead Manager.
The placement will occur in two tranches. Tranche 1 will consist of 31,026,082 shares, raising $11,479,650, and will be conducted using the company’s existing capacity under ASX Listing Rules 7.1 and 7.1A, with settlement expected on September 24, 2025. Tranche 2 will involve up to 55,000 shares issued to Non-Executive Director Michael Bohm, raising up to an additional $20,350, subject to shareholder approval at a general meeting planned for early December 2025.
