Nexus Minerals Ltd (ASX:NXM) will raise around $3.25 million before costs through a 1 for 5 renounceable entitlement issue partially underwritten to $2 million at a price of five cents per share – a discount of 25.37% to the last price of 6.7 cents and 24.58% to the 10 day VWAP.
Eligible shareholders will receive 1 free attaching new option for every two new shares subscribed, with an exercise price of 13 cents and expiring on March 26, 2025.
The entitlement issue will close on September 26, 2023 (unless extended), and eligible shareholders can apply for the shortfall in excess of their entitlement. Shareholders can also trade their rights from September 6, 2023.
Use of funds
Nexus will use the money to progress exploration activities at the Wallbrook Gold Project, the Bethanga Porphyry Copper-Gold Project and the NSW LCT Pegmatite Project.
The company is actively exploring for gold deposits on its highly prospective tenement package in the Eastern Goldfields of Western Australia and has expanded its existing project portfolio with the addition of the Bethanga Project in Victoria. It has also recently been granted more than 15,000 square kilometres of LCT (lithium-caesium-tantalum) pegmatite prospective tenure in NSW and Victoria.
Indicative schedule
The following table outlines the timeline of the entitlement issue:
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