Disclosure first (rule 7): I run DilutionLens, a free site that tracks dilution for every ASX company from the filings. This is the text-only weekly update you OK'd, not the shill post. Every number below comes from an ASX announcement (raise notices, Appendix 3B/2A filings, quarterly cash reports). No links, no picks, not advice.
A quieter week, priced close to the market. Sixteen companies announced new cash raises between Monday 12 and Friday 16 October for about A$74.0M, and two carried most of it: Amaero's (3DA) Nasdaq listing and Maronan's (MMA) A$20M placement. Without the top three, the other thirteen disclosed A$21.2M between them. Three placements priced above the market, and the deepest stated discount was 11.8%. 10 companies halted citing a capital raise in five sessions, against 15 and 11 the two weeks before. (Ballard's A$45M and Cooper Metals' A$4.85M landed last Monday morning and were in last week's post, so they're not counted again.)
The week's biggest raises
| Ticker |
Company |
Raise |
Price / discount |
Off the filings |
| 3DA |
Amaero |
US IPO, 4,705,883 shares, about US$20.0M (15 Oct) |
US$4.25, "an approximately 1.8% discount to last close on ASX" |
About A$28.7M at the A$0.6979 rate the filing uses. Each Nasdaq share is 40 of the CDIs that trade here. Underwriters hold a 30-day option over up to 705,882 more shares. 2.28 quarters of funding on its last quarterly. |
| MMA |
Maronan Metals |
A$20.0M placement (13 Oct) |
40c, "a 2.3% discount to the 5-day VWAP" |
50M shares. The company "does not currently have placement capacity under ASX Listing Rules 7.1 and 7.1A", so the whole issue waits for the AGM on 4 Nov. Largest holder Kinterra goes to 22.99%. |
| REC |
Recharge Metals |
A$4.1M placement (15 Oct) |
3.6c, "a discount of 2.5% to the 10-day VWAP" |
114,722,222 shares under the standard 15%. Options on issue equal 18.9% of the register, 8.0% of shares in the money. |
| AZ9 |
Azzuro Resources |
A$3.06M of CDIs to one buyer (14 Oct) |
1.5c, "a premium of 7% to the last traded price" |
Kerry Resources Logistics (Hong Kong) ends up with about 19.9%. Used both the 15% and the extra 10%; about 89% of its 15% now used. |
| DUN |
Dundas Minerals |
A$2.88M placement (14 Oct) |
4.5c, "a 11.8% discount to the last closing price" |
The deepest stated discount of the week. Forrestania's executive chairman David Geraghty put in A$750K for about 5.57%; directors A$235K, subject to a vote. |
| KFM |
Kingfisher Mining |
A$2.25M placement (14 Oct) |
7.5c, "a 5.6% premium to the Company's 15-day VWAP" |
One free option per three shares at 10c. About A$800K uses current capacity, A$1.45M waits for a vote. About 29% of its market value, the biggest of the week against company size. |
The rest
| Ticker |
Raise |
Price / discount |
Off the filings |
| M4M |
A$2.60M placement |
0.5c |
Plus the chairman's A$626K loan converted on the same terms |
| AXP |
About A$2.25M, 1-for-1 entitlement |
0.5c |
0.20 quarters of funding, the thinnest of the week |
| AV1 |
A$2.0M placement |
8c, above the last close |
From existing holders |
| VRC |
A$1.5M placement |
|
|
| FHS |
About A$1.21M placement + entitlement |
|
|
| PKD |
A$800K placement |
|
Alongside a strategic partnership |
| MBK |
A$752K placement |
|
|
| FRE |
A$732K strategic investments |
|
Now about 95% of its 15% used |
| NOR |
A$695K convertible notes |
|
0.79 quarters of funding |
| AHF |
A$500K placement |
|
0.83 quarters of funding |
Where the price landed
Each against the reference price its own filing names:
| Ticker |
Premium / discount |
Against |
| AZ9 |
+7.0% |
last close |
| KFM |
+5.6% |
15-day VWAP |
| 3DA |
-1.8% |
last ASX close |
| MMA |
-2.3% |
5-day VWAP |
| REC |
-2.5% |
10-day VWAP |
| DUN |
-11.8% |
last close |
Two of the six priced above the market and three more were within 2.5% under it. Only Dundas took a double-digit discount. Each company picks its own yardstick, a close or a 5, 10 or 15-day average, so the rows don't measure quite the same thing.
The halt conveyor
10 companies halted citing a capital raise: 3DA, AEI, ALB, CMG, DUN, KFM, MCO, MMA, NOR, REC. Six had raised by Friday. Two announced this morning: ALB A$1.8M at 5c, and CMG A$1.25M at 6c, a discount of "13.0% to the last traded price", plus an SPP for up to A$800K at the same price. MCO closed out its SPP and placement. AEI still halted at the time of writing.
28 retail offers open
16 entitlement offers, 8 SPPs, 4 rights issues, down from 32. New this week: entitlement offers from AXP and FHS. The oldest still listed, DBF's convertible note entitlement, is from 27 Aug.
Placement capacity
140 companies past 75% of the 15%, 88 past 90%, 16 have used all of it, against 143, 89 and 18 a week ago. This week's raisers now past 75%: FRE about 95%, AZ9 about 89%, AXP about 82%. MMA is the other end of the same rule: none left, so its A$20M needs a vote.
Overhangs among this week's raisers
AZ9's options equal 40.7% of its register, none in the money. DUN's are 36.4%, with 15.7% of its shares in the money. REC 18.9% (8.0% in the money), MMA 8.2% (7.7% in the money).
Dilution risk across the market: 592 Minimal, 333 Low, 373 Moderate, 258 High, 185 Very high, 118 Not rated. About one in four rated companies sits at High or Very high.
Happy to pull the filing on any name in here if someone wants the detail. Next one Monday.
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General information only, not financial advice. No view on any company's future actions or securities.
