Venture Minerals Limited (ASX:VMS, OTC:VTMLF) has accrued A$3.25 million thanks to a share purchase plan (SPP) and a top-up placement to sophisticated and professional investors.
The funding runway provides a financial boost for the explorer’s West Aussie rare earth interests, meaning it can move straight into drilling operations as it hunts for critical minerals.
Venture has already earmarked the funds for exploration at its Kulin North and Kulin South rare earth targets, as well as work at the recently acquired Iron Duke, Bandy and Brothers projects.
“This rare earth element (REE) acquisition is an exciting development for the company’s shareholders, providing exposure to a potential new REE discovery, adjacent to our 100%-owned Brothers Project,” Venture managing director Andrew Radonjic said in early May.
“These acquisitions cement Venture’s aggressive move into the REE space, an ever-increasing important part of the push into global decarbonisation.
“The company now looks forward to drilling these high priority targets later this month.”
The fine print
Venture’s SPP contributed A$3 million to the bank balance, while investors have put their hands up to raise the extra A$250,000 under the top-up placement.
SPP subscriptions amounted to A$2.5 million, with the remaining A$500,000 to be placed under a shortfall agreement with Cannacord Genuity.
Cap raise participants are also entitled to one free attaching option for every three shares they pick up, exercisable at A$0.036 within the next two years.
The options offer falls under a separate prospectus, which is being finalised, and will be put to shareholders for final approval.
SPP shares are slated for issue on May 26, with trading on the ASX expected to begin on May 29.
Shortfall and placement shares will follow suit shortly after, predicted to hit the boards on or around the end of May.