Key Highlights
- NexMetals Mining Corp. raises its public offering from C$65 million to C$80 million amid strong institutional demand.
- Proceeds will fund Botswana mine milestone payments, exploration, and working capital.
- The offering is expected to close around November 13, 2025, subject to regulatory approvals.
NexMetals Mining Corp. (TSXV: NEXM) (NASDAQ: NEXM) announced that it has increased the size of its public offering from C$65 million to C$80 million, citing overwhelming demand from institutional investors.
The upsized financing represents the company’s second revision in recent weeks, underlining growing confidence in its long-term mining portfolio.
Currently trading at $4.04, NexMetals’ shares have fallen around 20% over the past week, nearing their 52-week low of $3.77.
Despite this short-term volatility, data from InvestingPro indicates that the company maintains a strong balance sheet, with more cash than debt, positioning it well to capitalize on the expanded raise.
Revised Offering Terms
Under the revised structure, the offering includes up to 14,035,100 units, without an overallotment option. Each unit will comprise:
- One common share, and
- One common share purchase warrant, exercisable at C$8.00 within 24 months of issuance.
SCP Resource Finance LP will serve as the sole bookrunner, with Raymond James Ltd. as co-lead agent. The agents are set to receive a 6% cash commission on gross proceeds. At the same time, sales on the president’s list will carry a reduced 2% fee, up to C$7 million.
The C$80 million offering represents a significant infusion relative to NexMetals’ market capitalization of $86.66 million. It signals strong institutional backing for the company’s expansion strategy.
Strategic Allocation of Proceeds
Funds raised will be directed toward:
- Prepayment of the first contingent milestone payment under the Asset Purchase Agreement for the Selebi and Selkirk mines in Botswana, due by year-end 2025.
- Exploration and development of additional Botswana mineral assets.
- General working capital and corporate purposes to support future growth.
According to InvestingPro, NexMetals’ current ratio of 5.34 indicates high liquidity and financial stability, reinforcing investor confidence despite recent market fluctuations.
Read more news on Metals and Mining.
Corporate Updates and Outlook
In addition to the expanded offering, NexMetals has relocated its headquarters from Ontario to British Columbia, following shareholder approval at its recent annual general meeting.
The company also adopted new articles and bylaws under the Business Corporations Act of British Columbia, aligning with its restructuring and growth initiatives.
Earlier in 2025, NexMetals had already raised its financing target from C$50 million to C$65 million, before the latest upsize to C$80 million, reflecting sustained investor appetite.
The public offering is scheduled to close around November 13, 2025.