Bowen Coking Coal raises A$85m
Friday, October 21st, 2022
Coal miner Bowen Coking Coal has completed an A$85-million capital raise to fund infrastructure guarantees and prepayments.
The company on Friday announced that it would issue more than 283.3-million shares, at a price of 30c each, in two tranches.
The first tranche will consist of more than 253.5-million shares, raising an initial A$76-million under the company’s existing placement capacity, while the second tranche of more than 29.7-million shares, raising a further A$9-million, will be subject to shareholder approval at the company’s annual general meeting, scheduled for November.
“We are delighted with the support for the placement and welcome a number of new investors to the register. The strong coal price environment has increased the near-term potential for our assets but has also increased competition for access to infrastructure,” said MD Gerhard Redelinghuys.
“The placement will provide the required capital to support guarantees and prepayments to secure this access alongside working capital to manage our ongoing ramp-up. We are excited by the potential of our asset portfolio and look forward to continued growth and we aim to produce five-million tonnes run-of-mine by 2024.”