McLaren Raises $1.282M via Oversubscribed Placement to Fund PFS

Strong Capital Injection at a Pivotal Stage

McLaren Minerals Limited (ASX, MML) has announced a successful capital raise of approximately $1.282 million through a two-tranche placement, signaling robust investor confidence in its McLaren Titanium Project located in Western Australia’s Eucla Basin. This funding round, managed by CPS Capital Group, attracted strong interest from both existing shareholders and new high-net-worth investors, underscoring the market’s appetite for critical mineral ventures.

Strategic Use of Funds to Advance Project Development

The proceeds from the placement will be strategically deployed to complete the Pre-Feasibility Study (PFS) for the McLaren Titanium Project, a crucial step toward advancing the project from exploration to development. Key expenditures include engineering and design work, assay costs to validate mineral samples, updating the mineral resource estimate, and general working capital needs. The PFS is on track for completion early in the third quarter of 2025, a timeline that investors will watch closely as it will inform the project's viability and next steps.

Placement Structure and Shareholder Engagement

The placement involves issuing nearly 57 million new shares at 2.25 cents each, split into two tranches. The first tranche, raising $432,000, will be issued under existing placement capacity, while the second tranche, raising $820,000, awaits shareholder approval expected at a general meeting in early August. Notably, directors have committed to participate with $150,000 in the second tranche, subject to the same approval, signaling management’s confidence in the project’s prospects.

Incentivizing Investors with Options

Alongside the shares, investors will receive free-attaching options exercisable at 3.5 cents within 30 months, contingent on shareholder approval. This sweetener aims to provide additional upside potential, aligning investor interests with the company’s long-term growth. CPS Capital Group, the lead manager, will also receive options subject to approval, reflecting their pivotal role in securing the placement.

Looking Ahead

Managing Director Simon Finnis expressed optimism about the strong support from the investment community, emphasizing that the funds provide a solid foundation to progress the McLaren Titanium Project toward development. As titanium is increasingly recognised as a critical mineral essential for aerospace, defence, and energy technologies, McLaren’s advancement could position it well within a strategically important sector.