- Materials stock Rex Minerals (RXM) launches a two-phase placement to raise $50 million
- The money will be raised through a $5.3 million unconditional placement and, subject to shareholder approval, a $44.7 million conditional placement
- Approximately 166.7 million new fully-paid ordinary shares will be issued under both phases of the placement at 30 cents each
- Rex will use the money to fund pre-development activities at its Hillside Copper Project and continue exploration activities at Hog Ranch
- Rex enters a trading halt with shares last trading at 36 cents on July 30
Materials stock Rex Minerals (RXM) has launched a two-phase placement to raise roughly $50 million.
The $50 million will be raised through a $5.3 million unconditional placement and, subject to shareholder approval, a $44.7 million conditional placement.
Approximately 166.7 million new fully paid ordinary shares will be issued under both phases of the placement at 30 cents each.
This price represents a 16.7 per cent discount to Rex’s closing price of 36 cents on August 3 and a 15.2 per cent discount to the five-day volume-weighted average price.
Macquarie Capital and Euroz Hartleys are acting as joint lead managers while Baker McKenzie is acting as Australian legal counsel.
Rex will primarily use the money to fund pre-development activities at its Hillside Copper Project and continue exploration activities at its Hog Ranch Gold Property in Nevada.
CEO and Managing Director Richard Laufmann the successful completion of the placement would represent another milestone for Rex and its shareholders, as the company advances development activities for the Hillside Copper Project, its flagship asset.
“Rex is advancing rapidly as an emerging copper development company, following the South Australian Government’s approval of the program for environment protection and rehabilitation (PEPR),” Mr Laufmann said.
“With the global pivot to electrification of everything the time has never been more perfect to deliver Hillside copper.”
Rex entered the trading halt with shares last trading at 36 cents on July 30.