Pantoro Limited announces successful A$100M equity raising

Pantoro Limited (ASX: $PNR) has successfully secured firm commitments for an upsized institutional two-tranche placement of new fully paid ordinary shares to raise A$100 million. The new shares will be issued at a price of A$0.08 per share, representing a 1% premium to the 30-day VWAP of A$0.079 on 9 May 2024 and a 7% discount to the last closing price of A$0.086 on the same day.

Executive commentary on equity raising and growth acceleration

The Managing Director of Pantoro, Paul Cmrlec, expressed that the placement puts the company in an outstanding position to accelerate growth of the production profile at Norseman. The immediate repayment of the term loan facility removes approximately A$18.5 million in principal and interest payments during FY25. Restructuring the balance sheet puts Pantoro in a strong position to bring forward exploration and resource development programs at the Norseman Project. Pantoro is focused on growing the size and grade of the Ore Reserve at Norseman, and the additional funding will accelerate drilling and subsequent mine development works for additional high-grade mines at the Project. Completion of the upsized capital raising at a premium to the 30-day VWAP demonstrates the strong investor demand for Pantoro to accelerate growth at Norseman.

Summary of A$100M equity raising and outlook

Pantoro Limited (ASX: $PNR) has successfully completed a A$100 million equity raising through an upsized institutional two-tranche placement of new fully paid ordinary shares. The proceeds from the placement will be used to restructure Pantoro's balance sheet by closing out the US$29.6 million (A$44.8 million) Term Loan Facility with Nebari Partners LLC and to accelerate exploration and resource definition drilling programs at the Norseman Project. The company aims to bring forward exploration and resource development programs at the Norseman Project, focusing on growing the size and grade of the Ore Reserve. The additional funding will accelerate drilling and subsequent mine development works for additional high-grade mines at the Project. The completion of the upsized capital raising at a premium to the 30-day VWAP demonstrates strong investor demand for Pantoro to accelerate growth at Norseman.