Vertex Minerals launches a $2.5 million Share Purchase Plan at $0.10 per share, offering eligible shareholders a chance to invest ahead of commercial gold production at Reward Gold Mine.
- Share Purchase Plan aims to raise $2.5 million
- Issue price set at 86.7% of 5-day VWAP
- Eligible shareholders can invest up to $30,000
- Funds to support working capital and debt repayment
- Reward Gold Mine advancing towards October 2026 production
Capital Raise Positioned Before Production Ramp-Up
Vertex Minerals Limited (ASX:VTX) is opening the door for existing shareholders to deepen their stake with a Share Purchase Plan (SPP) targeting $2.5 million at 10 cents per share. This price represents a notable 13.3% discount to the recent five-day volume weighted average price (VWAP) of 11.54 cents, underscoring the company’s intent to incentivise participation ahead of its commercial gold production milestone anticipated in October 2026.
The SPP allows eligible shareholders registered by 30 June 2026 in Australia or New Zealand to purchase up to $30,000 worth of shares without brokerage fees. While the company aims to raise $2.5 million, it retains discretion to accept oversubscriptions or scale back applications, with a cap on new shares issued set at 30% of the existing share capital, equating to a maximum of approximately 86 million shares.
Funding Working Capital and Debt Reduction
Vertex’s Executive Chairman Bruce McInnes emphasised the timing of the capital raise as the company transitions from exploration and development into steady gold production. The funds raised will primarily bolster working capital and assist in repaying debt, a prudent move as the company gears up for increased operational demands.
This follows a period of financial structuring where Vertex secured convertible loans and other facilities to underpin underground development and production growth at Reward Gold Mine. The SPP complements these efforts by providing a direct equity injection from shareholders.
Reward Gold Mine Resource and Production Progress
Reward Gold Mine remains Vertex’s flagship asset, boasting a mineral resource estimate of 225,200 ounces of gold at a high grade of 16.72 grams per tonne. The global mineral resource across all projects stands at 482,000 ounces at 8.7 g/t, with a significant portion classified as indicated resources.
The company has already commenced gold processing at Reward using a gravity gold plant achieving a strong 95% recovery rate, while underground development continues to support the ramp-up phase. This operational momentum is critical as Vertex prepares for its targeted commercial production date in October 2026, which will be a key inflection point for the company’s financial profile.
Shareholder Participation and Offer Details
Participation in the SPP is optional and exclusively available to shareholders on the record date with registered addresses in Australia or New Zealand. The issue price of $0.10 is set at a discount to both the recent VWAP and the last closing price, reflecting a common practice to encourage uptake. Importantly, the plan is not underwritten, so the final amount raised depends entirely on shareholder demand.
The company has scheduled the offer to open on 8 July 2026, closing on 22 July 2026, with results and share issuance planned for 29 July. Refunds for any scale back will be processed electronically.
Bottom Line?
Vertex’s SPP is a strategic step to shore up balance sheet strength ahead of a pivotal production phase, but the final capital raised will depend on shareholder appetite and market conditions.
Questions in the middle?
- Will shareholder participation meet or exceed the $2.5 million target?
- How will the additional equity impact Vertex’s share price and dilution concerns?
- Can the Reward Gold Mine sustain its strong recovery rates as production scales?