PERTH, Western Australia, Feb. 26, 2026 (GLOBE NEWSWIRE) -- Novo Resources Corp. ("Novo" or the "Company") (ASX: NVO) (TSX:NVO) (OTCQB:NSRPF) is pleased to provide an update on the status of the capital raising announced on 24 February 2026 (Vancouver)/25 February 2026 (Perth).
The Company has now received firm commitments to raise gross proceeds of C$7.9m (approximately A$8.2m) through a placement of ~16.8m units at C$0.10 per unit and ~61.1m Chess Depository Interests ("CDIs") at A$0.105 per CDI to institutional, professional and sophisticated investors ("Placement"). The Company is delighted to welcome new shareholders and appreciates the continued support of existing shareholders.
Each common share ("Shares") issued under the Placement within Canada will be issued as part of a unit ("Unit") consisting of one Share and one-half of one Share purchase warrant (each whole Share purchase warrant being a "Warrant"). Each free-attaching Warrant will be exercisable for a period of three years from the date of issue at a price of C$0.15 per Share. The issue of Units to participants under Tranche 2 of the Placement will be subject to shareholder approval.
Units and CDIs will be issued under the Placement across two tranches, as follows:
Tranche 1 will comprise the issue of ~8.8m Units and ~50.2m CDIs (for aggregate proceeds of ~C$6.0m (approximately A$6.2m)) ("Tranche 1"); and
Tranche 2 will comprise the issue of ~ 8.0m Units and ~10.9m CDIs (to raise aggregate proceeds of ~C$1.9m (approximately A$2.0m) and will be subject to shareholder approval at a General Meeting expected to occur in May 2026 ("Tranche 2").
The Company's major shareholder, Northern Star Ltd (ASX: NST), has committed to participate up to its pro-rata holding (approximately 9%). A director has also committed to participate and the CDIs allocated to them (and to Northern Star) will be issued as part of Tranche 2.
Participants under the CDI Placement (being those outside of Canada) will also be entitled to be made an offer to apply to receive (for no consideration) one option to acquire a CDI ("Option") for every two CDIs subscribed for and issued under the Placement (with the issue of Options to participants under Tranche 2 of the Placement being subject to shareholder approval). Each free-attaching Option will have an exercise price of A$0.15 and will expire three years from the date of issue of the Tranche 1 Options.
The offer of Options will be made under a prospectus to be released to ASX in due course. Novo intends to apply to ASX for official quotation of the Options, but quotation will be subject to Novo satisfying the requirements of the ASX Listing Rules and no assurance can be given that such quotation will be granted.
Novo will resume trading on the ASX from market open today, with settlement of the issue of Shares and CDIs under Tranche 1 of the Placement intended to occur on 3 March 2026. A notice of meeting in respect of the issue of securities under Tranche 2 will be despatched shortly to convene a shareholders' meeting for the purposes of seeking the Tranche 2 approval.
Canaccord Genuity (Australia) Ltd and Alpine Capital Pty Ltd acted as Joint Lead Managers and Bookrunners to the Placement. The funds raised through the Placement are expected to be primarily used to execute and complete planned drilling and reconnaissance activities across priority projects throughout 2026, subject to final approvals, as well as for general working capital purposes.
It is intended that drilling be predominantly focused on the Company's high priority Western Australian greenfields projects at Wyloo, Balla Balla and Teichman, with programs ...
