Marimaca Copper’s US$17.7M Placement Backed by Insiders and New Investor

Capital Raise to Fuel Growth

Marimaca Copper Corp., a copper exploration and development company listed on the ASX and TSX, has unveiled plans for a significant capital raise through a non-brokered private placement. The company aims to issue over 5.3 million shares at C$4.60 each, targeting gross proceeds of approximately US$17.7 million. This injection of funds is intended to accelerate exploration and development activities at its flagship Marimaca Copper Project in northern Chile.

Strong Insider Support and New Institutional Interest

The private placement is notable for the participation of cornerstone shareholders Assore International Holdings Limited and Ithaki Limited, who together will subscribe for 4.5 million shares, contributing roughly C$20.7 million. Their involvement signals continued confidence in Marimaca’s long-term prospects. Additionally, a new institutional investor and its affiliates will acquire the remaining shares on identical terms, broadening the company’s shareholder base and potentially enhancing market credibility.

Strategic Use of Proceeds

Proceeds from the placement will primarily support ongoing exploration and the advancement of the Marimaca Copper Project, which hosts the Marimaca Oxide Deposit, an iron oxide copper gold (IOCG) type deposit. The project is currently undergoing a Definitive Feasibility Study led by Ausenco Chile Ltda, underscoring the company’s commitment to moving towards development. The funds will also cover general corporate purposes, providing operational flexibility.

Regulatory and Related Party Considerations

The placement involves related party transactions, given the participation of significant shareholders with board representation rights. However, Marimaca is relying on exemptions from formal valuation and minority shareholder approval requirements, as the transaction size is below 25% of the company’s market capitalization. The shares will be subject to a statutory hold period under Canadian securities laws, and the closing remains contingent on regulatory approvals, including from the Toronto Stock Exchange.

Looking Ahead

Marimaca’s CEO, Hayden Locke, emphasized the importance of this capital raise in sustaining momentum for the Marimaca Project and welcomed the new institutional investor’s participation. The company also disclosed arrangements with other shareholders, including Mitsubishi, who will have the option to participate pro rata following the placement. As Marimaca advances its feasibility study and exploration efforts, this funding round positions the company to capitalize on the growing demand for copper amid global electrification trends.