Carnavale Issues 665 Million New Shares, Secures $2.66 Million Capital
Carnavale Resources Limited has successfully completed a non-renounceable entitlement offer, raising approximately AUD 2.66 million through the issue of new shares, fully underwritten by Canaccord Genuity.
- Raised AUD 2.66 million via entitlement offer
- Issued 665 million new shares plus 95 million free-attaching shares
- Shortfall of 357 million shares to be placed by underwriter
- Offer fully underwritten by Canaccord Genuity Limited
- New shares scheduled for issue on 7 November 2025
Capital Raising Completed
Carnavale Resources Limited has announced the successful completion of its non-renounceable pro-rata entitlement offer, a key step in bolstering its capital base. The company raised approximately AUD 2.66 million by issuing 665,373,766 new fully paid ordinary shares at an issue price of $0.004 per share. In addition, shareholders received 95,053,556 free-attaching shares, enhancing the overall value proposition of the offer.
Underwriting and Shortfall Placement
The entitlement offer was fully underwritten by Canaccord Genuity Limited, providing certainty of funds for Carnavale. Despite strong shareholder participation, a shortfall of 357,181,069 shares remains, which the underwriter will place. This arrangement ensures that the company secures the full intended capital injection, mitigating the risk of under-subscription.
Implications for Shareholders and Market
The issuance of over 665 million new shares represents a significant increase in Carnavale’s capital structure, which may dilute existing holdings but also strengthens the company’s financial position. The free-attaching shares serve as an incentive for shareholders to participate, potentially supporting share price stability. The scheduled issue date for the new shares is 7 November 2025, marking the next milestone in Carnavale’s capital management strategy.
Looking Ahead
While the announcement confirms the capital raise, details on the specific deployment of proceeds remain undisclosed. Investors will be keen to understand how Carnavale plans to utilise the funds to advance its exploration projects or operational objectives. The role of the underwriter in placing the shortfall shares will also be closely watched for any market impact.
Bottom Line?
Carnavale’s fully underwritten raise secures funding but leaves questions on capital deployment and market reaction.
Questions in the middle?
- How will Carnavale allocate the proceeds from the entitlement offer?
- What impact will the shortfall share placement have on the share price?
- Will the capital raise accelerate exploration or development activities?
