Anax Metals (ASX:ANX) has secured commitments to raise approximately $10 million through a two-tranche placement, marking a pivotal step in the company’s transition toward production.
The capital raising involves the issuance of roughly 434.8 million new fully paid ordinary shares at an offer price of $0.023 per share.
The placement saw robust participation from a diverse group of new and existing institutional, professional, and sophisticated investors.
The funds will facilitate the repayment of the Jetosea Loan B, a move that Managing Director Geoff Laing notes will eliminate a potential 2.5% net smelter return royalty overhang, thereby streamlining the company’s balance sheet.
Beyond debt reduction, the capital will support ongoing project development activities at the Whim Creek Copper Project, exploration initiatives, and general working capital.
Key strategic shareholders demonstrated their continued support, with Jetosea and Gold Valley committing $1.3 million and $1.5 million, respectively.
Hong Kong-listed Deep Source has committed $0.49 million, while Anax Directors have pledged approximately $1.06 million, subject to shareholder approval.
The influx of capital strengthens Anax’s position as it enters final debt and off-take discussions, providing a solid foundation ahead of a potential final investment decision for Whim Creek, one of Australia’s most advanced copper assets.
At the time of reporting, Anax Metals' share price was $0.028.