Celsius Resources Offers Additional Options to Tranche 2 Placement Participants
Why we think this is neutral
The company is issuing additional free-attaching options to Tranche 2 placement participants as a 'good faith measure' to retain investor support during challenging market conditions. While this could be seen as a positive gesture, the need for these additional options may also indicate some underlying concerns about investor confidence in the company. The overall impact on the share price is likely to be muted, as this is an update on a previously announced placement rather than a new raise.
Key Points
- Celsius Resources to issue additional free-attaching options to Tranche 2 placement participants
- Options will be issued on a 1-for-2 basis, subject to shareholder approval
- Options will be exercisable at A$0.01 each and expire 3 years from issue date
- Company cites current market conditions and uncertainty as reasons for the additional options
Summary
Celsius Resources Limited (ASX, AIM:CLA) will issue an additional free-attaching option to Tranche 2 participants of the placement announced on 10 March 2025, on a 1-for-2 basis, subject to shareholder approval. The options will be exercisable at A$0.01 each and expiring 3 years from issue date. The company states this is a 'good faith measure for investors' continued support' due to current market conditions and escalating geopolitical and macroeconomic uncertainty.