Miners led the capital raise this week, bringing in hundreds of millions of dollars through equity placements.
Emerging lithium producer Sayona Mining (SYA) led the way by announcing a $190 million bookbuild to restart production at its Quebec operations.
The North American Lithium project is on track to produce spodumene concentrate starting in the first quarter of next year. Sayona expects to release a definitive feasibility study later this year.
The company issued more than a billion shares at 18 cents to institutional, professional and sophisticated investors at a discount of around 12% to its last closing price.
Today, shares gained more than 6%, trading above 21 cents at 1:25 p.m. AEST.
Chief Executive Brett Lynch said the increase was a “major vote of confidence” for the company.
“We are moving forward to become North America’s leading local spodumene producer and ultimately moving downstream to extract even more value from our expanding lithium resource base,” he said. .
Sayona has a market cap of $1.47 billion.
Chalice Mining (CHN) also announced a significant increase of $100 million to lock in an 18-month program of exploration and pre-development work, including on its Julimar nickel, copper and platinum group element (PGE) project at a short drive from Perth.
The placement with institutions and sophisticated investors brings the company’s liquidity to more than $140 million. As part of the offering, the company issued shares at $6, a 10% discount from its previous market price.
Chalice has a market capitalization of $2.18 billion and the shares are trading around $6.22 as of 1:24 p.m. AEST.
Meanwhile, a monitored security company Intelligent Monitoring Group (IMB) today opens the commercial component of its $10 million fundraiser.
The increase – of which $8.2 million is guaranteed – comes on the heels of the company’s acquisition of Internet of Things security firm Mammoth Technology Group for $4 million as part of a a half-cash, half-stock deal.
Managing Director Dennison Hambling said the company’s goal was to be a leader in security, with cameras acting as alarms.
“While we are disappointed to rise at the current share price level, we believe the addition of Mammoth to the business should improve the growth profile of the business over the period of our three-year plan. and, at the end of the day, its value is such that it always made sense to continue,” Mr. Hambling said.
“IMG has a business with a very strong recurring revenue base – up to 95% – and will look to use the momentum from the acquisitions of AIS (Advanced Inland Security) and Mammoth to continue to be Australia’s leading security company. and connected cameras.”
Retail entitlement ends June 15, with shares priced at 15 cents. The shares were trading lower than today at 14 cents at 1:26 p.m. AEST. The company has a market cap of less than $10 million.
Openpay (OPY) raised over $18 million with 24-cent shares and is launching a stock purchase plan for another $2 million.
Openpay will use the funds to acquire new merchants and customers in Australia and New Zealand and improve its platform.
Defense Training and Simulation Products Supplier XReality Group (XRG) raised $1.26 million and explorer of nickel and platinum group elements Moho Resources (MOH) raised just under $1 million.
Other ASX-listed companies that announced fundraising this week include:
- Crowd Media (CM8)
- Living Cell Technologies (LCT)
- Predictive Discovery (PDI)
The details of these capital increases will be known at the beginning of next week.
drum metal player Bellavista Resources (BVR) debuted this week and its shares have been trading for around 25% above its IPO price.
Battery metals will be Bellavista’s primary focus, but uranium is also on the company’s agenda which has been backed by Capricorn Metals (CMM) executive chairman Mark Clark and Bellevue Gold (BGL) managing director Steve Parsons, who each hold a 10% stake in the newly listed entity.
Bellavista will be chaired by company director Mel Ashton, a chartered accountant who has chaired companies such as the Hawaiian Group, the Fremantle Dockers, Gryphon Minerals and the Royal Flying Doctor Service.
The Market Herald Deal Room spoke with Bellavista’s executive director, geologist Michael Wilson.
Demetallica (DRM) listed on the ASX yesterday and its shares are trading at 26.5 cents at 2:30 p.m. AEST.
Demetallica is looking for gold, copper and other base metals in the Cloncurry area of Queensland, and two drill rigs are operating on site.
The company also owns properties in South Australia. DRM raised $15 million with 25-cent shares in its IPO.
The other companies to join the ASX this week were:
- TG Metals (TG6)which raised $6 million in its 20-cent IPO for its Lake Johnston nickel, gold and potential lithium project in WA, and;
- The Lottery Corporation (TLC): a lottery operator and supplier of Keno products in all Australian states and territories except Western Australia