Paladin Raises A$300M at A$7.25 Share Price to Advance PLS Development

Paladin’s Strategic Capital Raise

Paladin Energy Ltd (ASX, PDN) has announced a significant equity raising of A$300 million, fully underwritten, to accelerate development of its flagship Patterson Lake South (PLS) uranium project. The capital raise is structured through a combination of a A$231 million ASX institutional placement, a C$30 million (~A$33 million) TSX bought deal, and a ~A$36 million Treasury Share Sale. Additionally, the company is offering a non-underwritten Share Purchase Plan (SPP) to eligible shareholders in Australia and New Zealand, targeting up to A$20 million.

Pricing and Market Positioning

The shares under the placement and Treasury Share Sale are priced at A$7.25 each, reflecting an 8% discount to Paladin’s recent closing price. This pricing strategy aims to balance raising substantial funds while offering an attractive entry point for investors. The TSX bought deal shares are priced equivalently in Canadian dollars. Importantly, the new shares will rank equally with existing shares, ensuring parity for new investors.

Use of Proceeds and Project Advancement

Proceeds from the equity raising will be directed primarily towards advancing the PLS Project through critical stages, including the completion of Front-End Engineering and Design (FEED) in 2026, detailed design work necessary for Canadian Nuclear Safety Commission approvals, early site works, and procurement of long-lead items. The funds will also support ongoing exploration drilling at PLS and the Langer Heinrich Mine (LHM), as well as general administration, permitting, and community engagement efforts. Notably, the equity raise provides Paladin with balance sheet flexibility to simultaneously progress the PLS Project and ramp up operations at LHM, which is on track for full mining and processing operations by FY2027.

Strategic Implications and Market Outlook

Paladin’s Managing Director, Paul Hemburrow, emphasized the company’s confidence in PLS as a world-class uranium development asset with robust fundamentals and compelling economics. The equity raising positions Paladin to capitalise on the anticipated strong uranium market outlook over the next decade. The targeted timeline aims for first uranium production at PLS by 2031, aligning with global demand trends for nuclear fuel.

Investor Participation and Timetable

Eligible shareholders in Australia and New Zealand are invited to participate in the SPP at the same offer price, with applications capped at A$30,000 per shareholder. The SPP opens on 25 September 2025 and closes on 9 October 2025. The equity raising is expected to close by late September, with new shares allotted shortly thereafter. The company has engaged Macquarie Capital and Canaccord Genuity as joint lead managers and underwriters, underscoring the institutional support behind this capital raise.