Galan Lithium Ends ATM Funding for 2025, Raising Questions on Next Steps
Galan Lithium has completed its final at-the-market raise for 2025, raising $2 million through a share set-off with Acuity Capital. The funds will support development at its Hombre Muerto West lithium project in Argentina.
- Final $2 million ATM raise completed via share set-off
- 15 million shares set off against Acuity Capital collateral
- ATM facility now inactive for remainder of 2025
- Funds earmarked for Hombre Muerto West lithium project development
- Placement funding previously announced remains pending
Final ATM Raise Concludes
Galan Lithium Limited (ASX, GLN) has officially closed out its at-the-market (ATM) capital raising program for 2025 by utilising a set-off arrangement with Acuity Capital. The company raised $2 million by offsetting 15 million fully paid ordinary shares previously issued to Acuity Capital under the ATM facility. This maneuver effectively reduces Acuity Capital's collateral shares to zero, rendering the ATM facility inactive for the rest of the year.
Strategic Capital Deployment
The funds raised through this final ATM transaction are earmarked primarily for advancing the Hombre Muerto West lithium brine project in Argentina, a key asset in Galan's portfolio. The company also intends to bolster its working capital position ahead of a placement funding round that was announced in June 2025 but has yet to be completed. This measured approach to capital management underscores Galan's focus on project development while maintaining financial flexibility.
Implications for Shareholders and Market
The set-off shares were priced at a slight discount of 1.5% to the last traded price, reflecting a pragmatic balance between raising capital and shareholder value. With the ATM facility now fully utilised for the year, Galan shareholders can expect the company to rely on alternative funding mechanisms, such as the pending placement, to support its growth ambitions. The move also signals a pause in dilution from ATM issuances, which may be welcomed by the market.
Looking Ahead
While the completion of the ATM raise marks a significant milestone, the spotlight remains on the progress of the Hombre Muerto West project and the successful execution of the placement funding. Investors will be watching closely for updates on project milestones and how the company navigates its capital strategy in the coming months.
Bottom Line?
Galan’s ATM closure sets the stage for focused project development and a critical funding phase ahead.
Questions in the middle?
- When will the previously announced placement funding be finalised?
- What are the next key milestones for the Hombre Muerto West project?
- How will the end of ATM funding affect Galan’s share price and capital strategy?
