Prodigy Gold Secures $7.13M via Placement and Entitlement Offer
Prodigy Gold has successfully raised over $7 million through a combined entitlement offer and placement, with Plutus Prospecting increasing its voting power to 19.9%. The funds will fuel exploration and development in the prolific Tanami Gold Province.
- Raised approximately $7.13 million via entitlement offer and placement
- Plutus Prospecting’s voting power rises from 14.96% to 19.90%
- Placement priced at $0.002 per share under ASX Listing Rule 7.1
- Funds earmarked for exploration and development in Tanami North and West Projects
- Cleansing notice issued under Corporations Act to facilitate placement
Capital Raising Success
Prodigy Gold NL (ASX – PRX) has completed a significant capital raising initiative, combining a partially underwritten entitlement offer with a strategic placement to Plutus Prospecting Pty Ltd. The company raised approximately $7.13 million in gross proceeds, providing a substantial boost to its exploration and development budget in the Tanami Gold Province.
The entitlement offer, which closed on 22 July 2025, allowed existing shareholders to acquire one new share for every share held, priced at $0.002 per share. Plutus Prospecting exercised its right under the underwriting agreement to participate further via a placement, acquiring an additional 391.75 million shares and injecting roughly $783,500 into the company.
Shift in Ownership Dynamics
This placement has notably increased Plutus Prospecting’s voting power from 14.96% to 19.90%, edging it closer to a significant minority stake. Such an increase could influence Prodigy Gold’s strategic decisions, especially as the company advances its exploration agenda.
The placement was conducted under ASX Listing Rule 7.1, allowing Prodigy Gold to issue shares without prior shareholder approval, and was accompanied by a cleansing notice under the Corporations Act to ensure regulatory compliance and facilitate future trading of the new shares.
Strategic Use of Funds
Prodigy Gold’s portfolio centers on the prolific Tanami Gold Province, with a focus on the Tanami North and West Projects as well as the Twin Bonanza Project, which includes the Buccaneer and Old Pirate gold deposits. The company plans to advance priority targets, develop mineral resources, and conduct mining options studies, particularly on the Twin Bonanza Project’s oxide and transitional mineral resources.
Additionally, Prodigy Gold intends to systematically evaluate all its targets to determine the best path forward, whether through further exploration, divestment, or relinquishment, and to support joint venture partners in accelerating discoveries on their projects.
Looking Ahead
With fresh capital secured, Prodigy Gold is well-positioned to pursue its strategic objectives over the next two years. The increased backing from Plutus Prospecting may also signal confidence in the company’s prospects, though it raises questions about future governance dynamics.
Bottom Line?
Prodigy Gold’s successful raise sets the stage for intensified exploration, but the growing influence of Plutus Prospecting warrants close investor attention.
Questions in the middle?
- How will Plutus Prospecting’s near-20% stake influence Prodigy Gold’s strategic decisions?
- What specific exploration milestones and timelines will Prodigy Gold target with the new funds?
- Could further capital raises or shareholder dilution be on the horizon as projects advance?
