L1 Global Long Short Fund Launches $415M Entitlement Offer at $1.63 per Share

Background and Strategic Transition

L1 Global Long Short Fund Limited, formerly known as Platinum Capital Limited, has embarked on a significant capital raising initiative coinciding with its strategic transition to a new investment manager, L1 Capital Pty Ltd. Following shareholder approval at its 2025 Annual General Meeting, the company rebranded and adopted L1 Capital’s Global Long Short Strategy, a move that signals a new chapter focused on active global equity management with a long-short approach.

Details of the Entitlement Offer

The company has announced a pro-rata non-renounceable entitlement offer, inviting eligible shareholders registered in Australia and New Zealand as of 5 December 2025 to subscribe for one new fully paid ordinary share for every existing share held. The offer price is set at A$1.63 per share, reflecting the post-tax net tangible asset value as of 28 November 2025. The entitlement offer is scheduled to close on 18 December 2025.

Eligible shareholders who fully subscribe to their entitlement may also apply for additional shares through a Top-Up Facility. This facility allows investors to apply for shares beyond their entitlement, subject to board discretion and potential scale-back. The board currently intends to facilitate additional share allocations up to 50% of an investor’s entitlement, with any excess applications likely to be scaled back.

Shortfall Offer and Institutional Placement

In the event of any shortfall following the entitlement and Top-Up offers, the company reserves the right to issue remaining shares to select wholesale investors under a Shortfall Offer. This offer is also priced at A$1.63 per share and is not open to the general public.

Reflecting strong demand from the Shortfall Offer bookbuild, L1 Global Long Short Fund will conduct an institutional placement of approximately A$62 million at the same offer price. This placement aims to accommodate investors who might otherwise face scale-back under the Shortfall Offer. The company has also indicated the potential to upsize this placement by an additional A$60 million, subject to regulatory approval and final board decision.

Investment Strategy and Use of Proceeds

Proceeds from the entitlement offer, shortfall offer, and placement will be deployed in accordance with L1 Capital’s Global Long Short Strategy. This strategy leverages a high-conviction, actively managed portfolio of global equities, combining long and short positions to seek positive absolute returns while preserving capital. Since its internal seeding in January 2025, the strategy has demonstrated strong performance, with a net return of 67.5% year-to-date as of November 2025.

The transition to this strategy follows the monetisation of the company’s previous portfolio, with the new investment approach expected to be fully implemented by the end of December 2025, subject to market conditions.

Governance and Participation

The entitlement offer is not underwritten, and the company has appointed a syndicate of joint lead arrangers and managers, including Morgans Financial Limited and Taylor Collison Limited, to manage the offer. Directors have indicated their intention to participate fully in the entitlement offer but will not participate in the Top-Up Facility, Shortfall Offer, or Placement, in line with ASX Listing Rules.

Shareholders outside Australia and New Zealand, as well as those in the United States, are excluded from participation due to regulatory and logistical considerations.

Risks and Considerations

Investors should be mindful of the risks associated with the company’s new investment strategy and structure. These include market volatility, investment manager performance, regulatory compliance, operational risks, and the non-underwritten nature of the offer which introduces uncertainty regarding the final capital raised. The non-renounceable nature of the entitlement offer means shareholders who do not participate will see dilution of their holdings.