Elixir Energy’s SPP Nets $117K, Total Capital Hits $7.1M
Elixir Energy has successfully closed its Share Purchase Plan, raising an additional $117,000 and bringing total capital raised to $7.1 million, supported by new shares and free attaching options.
- Share Purchase Plan (SPP) closed raising $117,000
- Total funds raised now $7.1 million including prior placement
- New shares issued with free attaching options exercisable at 12 cents
- Options expire 17 October 2026
- Net cash position of $10.6 million including $3.7 million R&D tax credit receivable
Elixir Energy Completes Share Purchase Plan
Elixir Energy Ltd (ASX: EXR) has announced the successful closure of its Share Purchase Plan (SPP), which attracted applications totaling $117,000. This latest capital raise increases the company’s total funds raised to $7.1 million, combining proceeds from the recent placement and the SPP.
The SPP allowed shareholders to acquire new shares at a set price, with the added incentive of receiving one free attaching option for every two shares purchased. These options are exercisable at 12 cents and will expire on 17 October 2026, providing investors with potential upside should the company’s share price appreciate.
Capital Structure and Shareholder Approval
Importantly, Elixir Energy confirmed that no brokerage, commissions, or other transaction costs applied to participation in the SPP, making it an efficient way for shareholders to increase their holdings. The issuance of the SPP shares and options was approved by shareholders at an Extraordinary General Meeting held on 23 May 2025, ensuring compliance with ASX regulations and corporate governance standards.
Managing Director Stuart Nicholls expressed confidence in the company’s strengthened balance sheet, highlighting the strategic importance of the capital raise in supporting ongoing exploration and development activities.
Financial Position and R&D Tax Credit
Alongside the capital raise, Elixir Energy reported a net cash position of $10.6 million as of the end of April 2025. This includes an unaudited receivable of $3.7 million related to a Research & Development (R&D) tax credit, associated with qualifying expenditure on the Daydream-2 project. The timing and final receipt of this credit remain to be confirmed, but it represents a significant boost to the company’s liquidity.
The company’s ability to secure such tax incentives underscores its commitment to advancing exploration activities while managing costs effectively.
Looking Ahead
With fresh capital and a solid cash position, Elixir Energy is well-positioned to progress its exploration programs and potentially unlock value from its assets. Investors will be watching closely for updates on how the funds raised are deployed and the impact of ongoing exploration results on the company’s valuation.
Bottom Line?
Elixir Energy’s latest capital raise strengthens its financial footing, setting the stage for upcoming exploration milestones.
Questions in the middle?
- How will Elixir Energy allocate the $7.1 million raised between exploration and development?
- When is the $3.7 million R&D tax credit expected to be received and recognised?
- What are the market expectations for the exercise of the new options expiring in 2026?
