Mining company Ferrexpo, with its main assets in Ukraine, had a net cash position of $17 million as of April 17, and its directors note the urgent need to increase share capital by at least $100 million, without which shareholders could lose the entire value of their investment.
“The board of directors is considered a decision within the necessary time frame,” Ferrexpo said in a stock exchange announcement on Wednesday.
According to it, such increase in share capital is likely to be structured as a conditional offering of new shares to existing and new institutional investors to raise at least $100 million for working capital support. levels over the next 18 months.
"It is currently expected that such capital raising is expected to be commenced and completed (subject to, inter alia, the approval of resolutions at the general meeting and the admission to listing and trading of new ordinary shares to be issued as part of such capital raising) no later than April 30, 2026, ending December 31, 2025," it said.
The Company does not intend to publish prospectusproject of the issue in connection with the planned raising of funds.
993,686 thousand shares, representing 49.32%, regarding whether Fevamotinico will support the decision at the general meeting. completion of the audit and publication of the 2025 annual report and financial statements, which itself will require the implementation of an appropriate funding decision so that the financial results can be prepared on a going concern basis. information.
Ferexpo shares have fallen in price since the beginning of trading on Wednesday by 11.91% - to 38.02 pence, which corresponds to a capitalization of GBP258.2 million.
