Prospech's strategic funding initiative

Prospech (ASX:PRS) has announced a non-renounceable rights issue aiming to raise approximately $2.3 million. The rights issue is structured as a 1-for-4 offer, priced at $0.03 per new share. The funds will support exploration projects and general working capital.

Prospech's funding strategy and future outlook

Prospech Limited is undertaking a non-renounceable rights issue to raise up to $2.3 million, aimed at funding exploration activities at their Korsnäs and Hodrusa/Zlatno projects. The rights issue offers shareholders in Australia and New Zealand the opportunity to purchase new shares on a 1-for-4 basis at $0.03 each. Managed by Canaccord Genuity (Australia) Limited, the rights issue reflects strong internal support, with the board committing approximately $200,000 towards their entitlements. Any shortfall shares will be handled within three months post-closing. The initiative underscores Prospech's commitment to advancing their exploration goals while maintaining robust financial health.

Insights from Prospech's executive team

This rights issue represents a significant step in securing the necessary capital for advancing our key exploration projects at Korsnäs and Hodrusa/Zlatno. It also provides additional working capital to support Prospech's operational needs.