BCI Minerals Ltd (ASX:BCI) has announced the launch of a $360m equity raise to develop BCI?s 100% owned Mardie Project on the Pilbara coast of Western Australia. $240m Placement of ordinary New Shares at $0.43/share including commitments from existing shareholder Wroxby of $110M, and new investor AustralianSuper of $75m, with the balance underwritten by Canaccord. $20m Share Purchase Plan (SPP), sub-underwritten by AustralianSuper with the ability to accept oversubscriptions. At the election of BCI, up to $100m in Series 2 and Series 3 Convertible Notes may be issued to AustralianSuper during 2022, each with an exercise price of $0.6235, a 45% premium to the Placement Offer Price.
When an ASX-listed company announces a capital raising, it generally means it is selling more shares to raise money.
More often than not, the shares are sold at a discount to the company?s share price at the time to entice new and existing investors.