Dome Gold Mines Seeks $7M via Convertible Notes at 10% Interest
Dome Gold Mines has extended its convertible note offer deadline to 31 March 2026, maintaining key terms while adjusting interest payment dates. The move aims to raise up to $7 million through unsecured notes convertible at $0.15 per share.
- Convertible note offer extended to 31 March 2026
- Up to $7 million to be raised via unsecured convertible notes
- 10% annual interest with semi-annual payments starting October 2026
- Conversion price set at $0.15 per share with a 3-year tenor
- Updated Appendix 3B filed reflecting new dates
Extension of Convertible Note Offer
Dome Gold Mines Ltd (ASX, DME) has announced an extension to the closing date for its previously announced convertible note offering. Originally set to close in December 2025, the offer will now remain open until 31 March 2026. This extension provides additional time for investors to participate in the company's capital raising initiative, which aims to secure up to $7 million in funding.
Key Terms Remain Unchanged
The terms of the convertible notes remain largely consistent with the initial announcement. Dome Gold Mines is offering unsecured convertible notes with a face value of $1 each, convertible into fully paid ordinary shares at a conversion price of $0.15 per share. The notes carry a 10% annual interest rate, payable semi-annually on 7 October and 7 April, with the first interest payment now scheduled for 7 October 2026. The tenor of the notes is three years, with a maturity date set for the third anniversary of issue.
Implications for Investors and the Company
For investors, the convertible notes offer a blend of fixed income through interest payments and potential equity upside via conversion into shares. The unsecured nature of the notes means they rank equally with other unsecured creditors, which is a consideration for risk assessment. For Dome Gold Mines, the capital raised will support ongoing operations and exploration activities, providing financial flexibility without immediate equity dilution unless conversion occurs.
Regulatory and Documentation Updates
Alongside the extension, Dome Gold Mines has cancelled the Appendix 3B released in December 2025 and lodged a new Appendix 3B reflecting the updated dates. No other changes to terms or conditions were made, indicating the company’s intent to maintain transparency and compliance with ASX listing rules.
Looking Ahead
The extended offer period may signal the company’s cautious approach to securing sufficient investor interest amid prevailing market conditions. How quickly the notes are subscribed and whether noteholders choose to convert will be key factors influencing Dome Gold Mines’ capital structure and share price trajectory in the coming years.
Bottom Line?
The extended convertible note offer keeps Dome Gold Mines’ funding options open, but investor appetite and conversion decisions will shape its financial future.
Questions in the middle?
- How much of the $7 million convertible note offer has been subscribed to date?
- What are the company’s plans for deploying the raised capital?
- Will noteholders convert their notes into shares before maturity or seek repayment?
