A$250m placement at A$0.88, nil discount to last close and 3.5% premium to 10-day VWAP
Proceeds from the placement will underpin the development of the 6.2Moz Bullabulling Gold Project (“Project”), located 65km west of Kalgoorlie in Western Australia.
Alongside A$170m royalty funding from Franco-Nevada
Cash A$183m before, A$633m pro forma after
Led by Canaccord Genuity, Morgans, Bell Potter, Euroz Hartleys, Argonaut, SPP not underwritten
Shares 0% against the offer price on day 1
Equity
Option
Materials deals since 2021
MI6, A$250m
Why companies choose it
Deals
Median size
Median discount
Median day 1
New shares vs existing
Company given away
27
A$61m
8.2%
+2.6%
13.4%
11.8%
Priced and settled in a few days with no prospectus
Only institutions and sophisticated investors take part, so retail holders are diluted
Would be 13.4% of shares against the 15% limit, but the A$250m placement on 16 Sept 2026 has already used part of this year's capacity
23
A$100m
10.6%
+3.8%
13.8%
12.1%
A placement with a share purchase plan so retail holders can buy up to A$30,000 each at the same price
SPP shares do not use the 15% placement limit
The SPP amount is only known when it closes and is often scaled back or increased
11
A$69m
17.1%
+6.7%
14.8%
12.9%
Every holder can buy new shares in proportion to their holding, so those who take up keep their stake
Not limited by the 15% cap, so it suits raises that are large against market cap
Takes three to four weeks with the retail offer and usually needs a deeper discount and an underwriter
Debt
Option
Materials deals since 2021
MI6, A$250m
Why companies choose it
Deals
Median size
Median rate
Interest a year
Net debt after
32
A$250m
not disclosed
–
(A$383m)
No new shares issued
Needs cash flow or a project that can carry interest and repayments, and comes with covenants
Net debt would move to net cash of A$383m
22
A$919m
6.81%
A$17m
(A$383m)
Fixed rate for five to ten years, usually A$300m or more and often in US dollars
Lighter covenants than bank debt but a higher rate, and investors look for a credit history or rating
About A$17m of interest a year at the median rate
3
A$65m
not disclosed
–
Lower coupon than straight debt because holders can convert into shares at a premium
Shares are only issued if the price rises past the conversion price
Suits companies with volatile share prices and strong investor demand
Deals are ASX announcements since 23 Sep 2021 by the 200 companies in the IOZ ASX 200 ETF, in the same sector as the company chosen.
Discount is the offer price against the last close. Rate is the fixed coupon, where the notice states one. Day 1 is the first close against the offer price.
Company given away is the share a holder who does not take part loses if the whole amount is raised at the median discount, using the current ASX market cap.
Debt and cash are from the latest balance sheet shown, and net debt before a deal from the last one before it (Yahoo Finance). Brackets mean net cash.
Loan facilities only appear when the company announced them. Hover a figure for the sentence it was read from.