180 Markets’ Cap Raisers: Centaurus Metals, Critical Resources and Dotz Nano boost bottom lines
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The expert team behind the 180 Markets free, easy to use platform brings you the good oil and gossip on the cream of the ASX-listers with capital raises in the works. Here’s what happened last week from July 24-28, 2023.
Co-founder and CEO Greg Lowe says on the macroeconomic front US treasury yields and interest rates along with global equity indices were worth noting.
“We are certainly in interesting times. We saw another increase in interest rates in the US and most importantly we are seeing US treasury yields up to 4% which is a 10-year plus high,” he says.
“We are also getting global equities indices running and they are basically at a 12-month high so it will be very interesting to see what wins out in terms of higher yields and equity prices because they tend not work like they are right now hand in hand.
“It is a time to really notice what is going on in global markets.”
180 Markets co-founder Shaun Factor says it must have been close to a record for capital raisings on the ASX with 26 companies rattling the tin.
“With 26 capital raises that’s pretty close to a record and we at 180 Markets were getting access to most as per usual,” Factor says.
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Here’s some of the cap raises that sparked the interest of 180 Markets.
Brazilian nickel developer Centaurus Metals (ASX:CTM) is seeking to raise $35 million at 75 cents/share, a 13% discount.
Factor says CTM will use the funds for completion of various activities on the definitive feasibility Study (DFS) for its Jaguar nickel sulphide project including a deep exploration drilling program along with general working capital.
Lithium explorer and project development company Critical Resources (ASX:CRR) has raised $10.2 million through a combination of a flow-through share placement, and an institutional placement.
CRR raised $7.9 million using the flow-through shares provisions under Canadian tax law, placed at A6.1 cents/share which represents a 14.9% premium to CRR’s last close price.
The flow-through shares will be immediately sold through a block trade agreement to select institutional and sophisticated investors at A4.5 cents/share.
“That was an exciting raise because you don’t see it often, but Australians are getting the hint that if you fund Canadian projects, you can do what’s called a flow-through raise,” Factor says.
“You pay the discount in Australia but get the premium in Canada.
“We at 180 Markets were part of the cornerstone group for that raise and funds will be used on their Mavis Lake project.”
Factor says Evolution Capital was the lead manager for Dotz Nano (ASX:DTZ) with the nano-technology company raising $4 million at 20 cents/share through a private placement.
“Each share came with a on for two 35 cent option, priced at ~18% discount,” Factor says.
“Investors are getting in right near the lows of the last two years.”
DTZ says funds raised from the private placement will be applied primarily for growth initiatives, including the acquisition, development, and exploitation of carbon capture technology as well as other general corporate purposes.
Evolution Capital also led the capital raise for US lithium play Arizona Lithium (ASX:AZL) which has raised $10 million at 5 cents/share.
“Each share came with a free 5 cent option,” Factor says.
He says the capital raise price is at a tenth of the 24 cents they hit about 18 months ago.
AZL is raising the funds to further advance its Prairie lithium projects and research centre, which includes a resource upgrade, pilot plant construction and tying up a pre-feasibility study (PFS).
“They are expecting a lot of news flow and late in August hoping to do a resource upgrade,” Factor says.
Critical minerals explorer Narryer Metals Limited (ASX:NYM) has raised $1.4 million at 12 cents/share representing a 11% discount to the last closing price.
“I’m pleased to say 180 Markets got behind the wall which means we bid early for priority allocation,” Factor says.
NYM will use the funds to advance its Canadian lithium exploration, iincluding target generation, mapping, channel sampling and drilling.
Microcap explorer in Africa Mount Burgess Mining (ASX:MTB) has raised $530,000 at 0.4 cents/share.
“Those who know me would know I did hold a pretty sizeable position which I have sold,” Factor says.
“I do hold pretty mixed views on the company but good to see they have funding.”
He says MTB did have a recent run based on excitement around their germanium and gallium project.
“Not many people know about these commodities but if this company can get its stuff together and promote alright then it could be a success,” he says.
Dual Canadian and Aussie listed Kincora Copper (ASX:KCC) has raised $1.5 million at 5 cents/share.
“KCC was a very popular raise on 180 Markets with a lot of interest,” Factor says.
“The raise was at 5 cents per share so a 25% discount to the previous closes and investors did receive a 1 for 2 option.
“There was an acquisition for the remaining 35% of a copper gold project owned by RareX (ASX:REE)”
You can watch Lowe and Factor discuss last week’s cap raises here:
Ignite Equity, an affiliate of 180 Markets, recently led a successful cap raise for critical battery minerals company Impact Minerals (ASX:IPT) at 1.2 cents/share.
The cap raise was to primarily fund and accelerate a pre-feasibility study (PFS) and an advanced High Purity Alumina (HPA) project located near Hyden in the tier one jurisdiction of Western Australia. Watch here their interview with MD Dr Mike Jones.
180 Markets gives investors the opportunity to bid into ASX capital raises and IPOs on its free, easy to use platform.
The company offers investors access to capital raises it has led exclusively along with those by other brokers.
This article was developed in collaboration with 180 Markets, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.