Pacific Edge Plans 81 Million Shares at NZD 0.10 in New Capital Raise

Context of the Capital Raise

Pacific Edge Limited, a medical diagnostics company listed on the ASX and NZX, has unveiled plans for a significant capital raising via a securities purchase plan (SPP) following a substantial placement completed earlier this year. The placement, which closed on May 30, 2025, saw the issue of 160,728,498 new shares at NZD 0.10 each, raising approximately NZD 16 million. However, the allotment of these shares remains conditional on shareholder approval, which is scheduled to be sought at the upcoming Annual Shareholders Meeting on August 6, 2025.

The SPP is designed as a complementary capital raising mechanism, offering existing eligible shareholders in New Zealand the opportunity to purchase additional shares up to a maximum aggregate of NZD 5 million. This initiative reflects Pacific Edge’s strategic intent to strengthen its balance sheet and support ongoing operational and growth activities.

Details of the Securities Purchase Plan

The SPP will offer up to 81,191,597 ordinary fully paid shares at the same issue price of NZD 0.10 per share, maintaining pricing consistency with the earlier placement. Eligible shareholders can apply for parcels ranging from a minimum subscription of NZD 100 to a maximum of NZD 50,000, subject to a discretionary scale-back if applications exceed the NZD 5 million cap.

Importantly, the offer excludes shareholders outside New Zealand, aligning with regulatory and jurisdictional considerations. The company has confirmed that no lead manager or underwriter will be involved in the SPP, which may indicate a cost-conscious approach to this capital raising.

Regulatory and Compliance Framework

Pacific Edge has meticulously complied with ASX Listing Rules in structuring the SPP and placement. The placement shares are subject to shareholder approval due to related party participation and regulatory relief conditions. The company has secured a waiver from Listing Rule 4.19.1 to permit allotment post-approval. The SPP itself meets the criteria under Listing Rule 7.2 exception 5, allowing the issue without further shareholder approval, provided the placement is approved.

The timetable for the SPP is set with the announcement date on July 17, 2025, offer opening the same day, and closing on July 31, 2025. The issue date and announcement of results are expected by August 13, 2025, with shares to be quoted shortly thereafter.

Strategic Implications and Market Outlook

This capital raising signals Pacific Edge’s commitment to securing additional working capital to support its business objectives. While the dilution effect is a consideration for existing shareholders, the consistent pricing and scale-back provisions aim to balance capital needs with shareholder interests.

With no underwriting involved, the company is assuming full risk on subscription levels, which could impact the final amount raised. The exclusion of non-New Zealand shareholders may also affect the breadth of participation.

Investors will be watching closely the outcome of the shareholder vote on the placement and the uptake of the SPP, as these will provide early indicators of market confidence in Pacific Edge’s growth trajectory.