WA Kaolin (ASX:WAK) will undertake a fully underwritten accelerated non-renounceable entitlement offer to raise up to AU$7 million, according to a Thursday Australian bourse filing.
The offer will include the issuance of one new fully paid ordinary share in the firm for every three existing shares held by eligible shareholders at an issue price of AU$0.04 apiece.
It will also include one free unlisted attaching option for every two new shares subscribed exercisable at AU$0.09 on or before June 30, 2027.
Major shareholders have committed AU$2.6 million in accelerated rights and AU$2.2 million in sub-underwriting of the retail entitlement offer.
The offer is fully underwritten by Canaccord Genuity.
It will use the proceeds for general working capital to pursue its sales ramp-up at the Wickepin project in Western Australia, and cash flow positivity.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.