Riedel Resources Limited (ASX: RIE) is an Australian exploration company focused on mineral resource projects. The company’s shares are actively traded on the ASX, and investor confidence is influenced by its capital raising efforts and corporate decisions. Riedel Resources Limited listed on the ASX on 11 March 2025 at an issue price of $0.033 per share.
Riedel Resources secured firm commitments to raise $165,000 via the issuance of 4,125 Convertible Notes, each valued at $40.
The funds will primarily support working capital needs and due diligence for potential project opportunities.
The Notes were exclusively offered to professional and sophisticated investors. They will automatically convert into shares if the company raises at least $250,000 in future capital or undergoes a significant takeover event. The conversion price will be set according to the event’s share price.
The Notes come with a 15% annual simple interest rate, accruing daily from the date of issuance. Interest payments will be made either through share issuance upon conversion or via share buybacks. The company also retains the option to repurchase the Notes at face value with investor consent.
Oracle Capital Group Pty Ltd acted as the lead manager for this capital raise. As part of the arrangement, Riedel will issue 594,000 unquoted options to Oracle Capital, which will be exercisable at 150% of the conversion price and will expire in three years.
The company plans to finalise the issuance of these Notes by March 24, 2025.
In addition to the capital raise, Riedel Resources announced the resignation of Non-Executive Director Jason Pater.
His departure is due to increased work commitments in the U.S. Since joining the board in 2019, Pater has played a valuable role in guiding the company. Chairman Grant Mooney expressed gratitude for his contributions and wished him success in his future endeavours.
With the latest funding secured and a board adjustment in place, Riedel Resources is positioning itself for future growth while maintaining a focus on capital efficiency and potential project expansions. Investors will be closely watching how the company leverages this capital for strategic opportunities.
Chifley Tower, 2 Chifley Square,
Sydney NSW 2000
1300 854 151
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