Brazilian Rare Earths Raises $120M to Fast-Track Rare Earth Projects and Refinery
Brazilian Rare Earths Limited has raised A$120 million through a share placement to fast-track its high-grade rare earth projects and integrated refinery development in Brazil.
- A$120 million capital raise via placement of 25.6 million shares at A$4.68 each
- Funds aimed at accelerating rare earth projects in Brazil and refinery at Camaçari, Bahia
- Placement price set at 6.4% discount to last closing share price
- Shares to resume trading on ASX from 14 October 2025
- Petra Capital and Canaccord Genuity acted as joint lead managers
Capital Raise to Accelerate Growth
Brazilian Rare Earths Limited (ASX – BRE) has successfully secured firm commitments to raise A$120 million through a placement of 25.6 million new shares priced at A$4.68 each. This capital injection is designed to fast-track the development of its ultra-high-grade rare earth projects in Brazil, as well as to expedite the construction of an integrated rare earth separation refinery located in Camaçari, Bahia.
Strategic Focus on Rare Earths Supply Chain
The company’s focus on rare earth elements aligns with growing global demand driven by clean energy technologies and advanced electronics. By accelerating both mining operations and downstream processing capabilities, Brazilian Rare Earths aims to position itself as a key supplier in the rare earths market, reducing reliance on traditional sources and enhancing supply chain security.
Placement Details and Market Impact
The placement price of A$4.68 per share represents a modest 6.4% discount to the last closing price of A$5.00, reflecting a balance between raising capital efficiently and maintaining shareholder value. New shares will rank equally with existing shares, and trading resumed on the ASX on 14 October 2025. Settlement and issuance of the new shares are expected by late October.
Backing by Experienced Financial Partners
Petra Capital Pty Limited and Canaccord Genuity (Australia) Limited acted as joint lead managers for the placement, with Petra Capital serving as sole bookrunner. Their involvement underscores confidence in Brazilian Rare Earths’ growth strategy and the broader rare earths sector’s potential.
Looking Ahead
With fresh capital in hand, Brazilian Rare Earths is poised to compress development timelines for its Rocha da Rocha and Amargosa projects, alongside advancing the Camaçari refinery. While forward-looking statements highlight optimism, investors should remain mindful of the inherent risks and uncertainties typical of mining and processing ventures.
Bottom Line?
This capital raise sets the stage for Brazilian Rare Earths to deepen its footprint in the rare earths market, but execution risks remain as projects accelerate.
Questions in the middle?
- What are the updated production timelines and targets following this capital raise?
- How will the integrated refinery impact the company’s margins and market positioning?
- What are the key risks that could delay project development or increase costs?
