Shareholder Approval Key as Ragusa Pursues Capital Raise with Attached Options
Ragusa Minerals is raising $427,200 through a discounted share placement aimed at sophisticated investors, with free attaching options pending shareholder approval.
- Placement of 35.6 million shares at $0.012 each, a 14.4% discount to VWAP
- Raising $427,200 to fund potential acquisitions and working capital
- One free attaching option for every three shares, exercisable at $0.03 in three years
- Placement targets sophisticated and professional investors under ASX rules
- Settlement expected by 4 July 2025, subject to shareholder approval
Ragusa Minerals' Strategic Capital Raise
Ragusa Minerals Limited (ASX – RAS) has announced a placement to raise $427,200 by issuing 35.6 million new shares at 1.2 cents each. This price represents a 14.4% discount to the company's 15-day volume weighted average price (VWAP) as of 26 June 2025, reflecting a strategic move to attract sophisticated and professional investors under existing ASX placement capacities.
Incentivising Investors with Attaching Options
In addition to the discounted shares, Ragusa plans to offer one free attaching option for every three shares issued, exercisable at three cents within three years. This incentive is subject to shareholder approval at an upcoming general meeting, which will be convened as soon as practicable. The attaching options provide investors with potential upside, aligning interests as the company pursues growth opportunities.
Purpose and Use of Funds
The capital raised will primarily support Ragusa’s evaluation of potential new project acquisitions, alongside bolstering corporate and general working capital. The company’s focus remains on its Burracoppin Rare Earth Elements (REE) and Kaolin/Halloysite project in Western Australia, a region with promising mineral exploration prospects. This funding round underscores Ragusa’s commitment to advancing its asset base and maintaining operational flexibility.
Market and Regulatory Context
Vert Capital Pty Ltd is acting as the lead manager for this placement, ensuring compliance with ASX Listing Rules 7.1 and 7.1A. The offer is restricted to investors who meet the sophisticated or professional criteria under the Corporations Act, limiting dilution risk to retail shareholders. Settlement is expected by 4 July 2025, marking a swift execution timeline that could influence the company’s near-term share price dynamics.
Looking Ahead
Chairman Jerko Zuvela emphasised the company’s strategic approach to capital management, highlighting the importance of data-driven and risk-weighted exploration. As Ragusa moves forward, the outcome of the shareholder vote on attaching options will be a key milestone, potentially shaping investor sentiment and the company’s funding trajectory.
Bottom Line?
Ragusa’s placement sets the stage for potential acquisitions but hinges on shareholder approval to unlock full investor appeal.
Questions in the middle?
- Will shareholders approve the attaching options at the upcoming meeting?
- What specific new projects is Ragusa targeting with the raised funds?
- How will the market react to the dilution and discount in the short term?
