ASX-listed copper miner 29Metals, with a market capitalisation of $851 million, has announced a $150 million entitlement offer priced at 40¢ per share. This represents a discount of up to 35.5 per cent compared to the company’s last closing price. 29Metals is focused on discovering, developing, and producing metals essential for a sustainable future. The company aims to create value responsibly through copper production.
The proceeds from the entitlement offer are earmarked to bolster working capital, particularly to mitigate the impact of 2025 seismic events at the Xantho Extended project. Funds will also be directed towards investment in the Gossan Valley project, advancing the restart feasibility study at Capricorn Copper, and supporting exploration drilling activities across 29Metals’ broader portfolio of assets.
Major shareholders BUMA and AustralianSuper have demonstrated their support by committing $29.2 million and $26.8 million, respectively, to the entitlement offer. Additionally, BUMA has agreed to acquire any shortfall in the offer up to $41.5 million. Should BUMA take up the full shortfall, its holding in 29Metals could potentially increase to 25.8 per cent.
The retail component of the entitlement offer is scheduled to open on January 28 and will remain open until February 11. This offer allows existing shareholders the opportunity to purchase new shares at the discounted price, contributing to the company’s strategic funding initiatives.
