Anax Metals (ASX:ANX) is raising $10 million through a two-tranche placement to fund the repayment of the Jetosea Loan B and other exploration costs.
The company will issue 434.8 million shares at $0.023 each, raising the initial $5.19 million through the issuance of 225.53 million shares in tranche one, and the remaining $4.81 million through the issuance of 209.25 million shares in tranche two.
Tranche two is conditional to shareholder approval at an upcoming general meeting expected to be held in mid-May 2026. Anax directors have agreed to commit $1.06 million in tranche two, following approval from shareholders.
The offer price used in this placement represents a 1.7% discount to the 10-day volume weighted average market price of $0.023 per share.
Sternship Advisers is acting as the lead manager for this placement, with Bell Potter Securities acting as the co-manager.
The completion of this placement will provide Anax with an estimated pro-forma cash balance of around $7 million, after the company repays its existing $3.5 million loan from major shareholder, Jetosea.
As reported by Mining.com.au, Anax extended the maturity date of this loan last week to expire on 10 June 2026, after orchestrating the agreement in December 2025.
The repayment of Loan B will ensure the company does not have to pay a 2.5% net smelter royalty for material sources from the Whim Creek joint venture.
Along with repaying the loan agreement, Anax will use funds for development activities, debt and offtake funding agreements, and exploration activities, ahead of a potential final investment decision for the Whim Creek Project in Western Australia.
Anax Metals is an Australian explorer focused on becoming a near-term producer of copper and zinc through its 80% owned Whim Creek Project in Western Australia.
Write to Maddison Elliott at Mining.com.au
Images: Anax Metals
