Small cap resources trio launch raisings
ASX-listed resources outfits New World Resources, Black Cat Syndicate and Octanex Ltd landed in front of small cap fund managers on Monday morning, on the hunt for cash injections.
A trio of resources outfits were raising money on Monday.
First cab off the rank was copper explorer and developer New World, which had Canaccord Genuity in its corner for a $15 million raising.
The two-tranche placement was priced at 10¢ a share, which represented a 9.1 per cent discount to New World’s last close and a 4.7 per cent discount to the 10-day VWAP, according to terms in front of fund managers.
The fresh capital was pegged for resource drilling, resource estimation, feasibility studies and the like. New World is focused on developing its Antler copper project in Arizona, which was previously operational between 1916 and 1970.
Meanwhile, Gold explorer Black Cat was seeking $18.5 million for drilling, equipment purchases and feasibility studies.
New shares in the placement were being offered to funds at 67¢ each, which represented a 13.5 per cent discount to Black Cat’s last close, and a 14.8 per cent discount to this 10-day VWAP, according to terms sent to funds.
Petra Capital was lead manager on that deal and was calling for bids by 5pm on Monday.
Finally, fellow gold play Octanex was on the hunt for between $750,000 and $1.2 million, also through a placement of new shares.
That offer was priced at 5¢, a 15.25 per cent discount to the company’s last close and 28.57 per cent discount to the 30-day VWAP, funds were told.
Money raised would primarily go towards drilling and geophysics work. Octanex’s flagship project is its Sefton gold exploration project in Western Australia’s eastern goldfields.