Helios Energy Ltd (HE8) announced a capital raising initiative to secure approximately $3.6 million before costs. The plan involves a placement to sophisticated and professional investors to raise $1 million and a fully underwritten non-renounceable entitlement offer targeting existing eligible shareholders to raise a further $2.6 million. The placement involves issuing 142,857,142 new ordinary shares at $0.007 each.
The entitlement offer is structured on the basis of one new share for every seven shares held, also priced at $0.007 per share. This represents a substantial discount of approximately 56% to the last closing price on March 10, 2025, and about 40% to the 30-day volume-weighted average price. The offer has garnered significant management support, with directors Mark Lochtenberg, Philipp Kin, and John Cathcart committing to participate and sub-underwrite portions of the shortfall.
The raised capital is earmarked for licensing and permitting renewals, technical geological studies, geotechnical work, well design and planning, and reclamation activities, accounting for $2.6 million. The remaining $1 million will be allocated to general working capital, including covering the costs associated with the offer itself. According to Managing Director Philipp Kin, the funds will facilitate debt repayment and provide the necessary capital to advance the company’s strategic objectives, including drilling preparations, acreage assessment, commercial opportunity evaluations tied to production, and the potential for joint ventures in the Presidio acreage.
Gleneagle Securities (Aust) Pty Ltd is managing the placement as the Lead Manager and underwriting the entitlement offer. The key dates include the record date of March 18, 2025, the opening date of March 21, 2025, and the closing date of April 9, 2025. The offer is fully underwritten, ensuring that any shortfall will be covered by the underwriter, with directors contributing to sub-underwriting arrangements. This capital raise aims to position Helios Energy for significant progress and value creation in the near term, with a focus on achieving drilling milestones and enhancing enterprise value.
