Conico Raises $85,000 via 10.6 Million Shares at 0.8 Cents Each

Context of the Placement

Conico Ltd (ASX – CNJ), a junior explorer in the mining sector, has announced a follow-on private placement aimed at strategic shareholders. This move follows the completion of its entitlement offer on 22 January 2026, which evidently generated more demand than initially anticipated. To accommodate this excess interest, Conico will issue an additional 10.625 million shares at the same price as the entitlement offer, $0.008 per share, raising a modest $85,000.

Strategic Shareholder Focus and Capital Management

The placement is designed to bring in strategic investors, which suggests Conico is looking to strengthen relationships with key stakeholders who can potentially add value beyond just capital. By utilising its 15% placement capacity under ASX Listing Rule 7.1, the company avoids the need for shareholder approval, enabling a swift execution of the placement. Importantly, the shares issued will be subject to voluntary escrow, restricting trading until certain secondary market conditions are met, which helps maintain market stability and investor confidence.

Financial and Market Implications

While the $85,000 raise is relatively small in the broader capital markets context, it signals continued investor appetite for Conico’s equity and supports the company’s ongoing exploration activities. The absence of placement costs means the full amount raised will be available for operational use or working capital. Executive Chairman Guy Le Page’s authorisation of the announcement underscores management’s commitment to transparent communication with the market.

Looking Ahead

Investors will be watching closely to see how the placement impacts Conico’s share price once the escrow conditions are lifted and how the company plans to deploy the additional funds. This follow-on placement also sets a precedent for how Conico might manage future capital raises, balancing shareholder dilution with strategic growth objectives.