Mkango Resources Ltd. has conditionally raised £3.0 million (C$5.6 million) through a private placement of 10 million units at 30 pence each, with each unit comprising one common share and half a warrant exercisable at 45p. Net proceeds are expected to be around £2.8 million (C$5.3 million) after fees.
The fundraising, priced at a discount to recent trading, was well received by investors, with Mkango’s share price climbing 11% following the announcement.
The company confirmed that proceeds are earmarked to support ongoing development costs for its HyProMag rare earth magnet recycling and manufacturing projects.
Chief executive William Dawes commented:
“We are delighted by the continued support and confidence from our existing shareholders reflected in this £3 million investment. This funding enables continued momentum on the development and scale-up of the rare earth magnet recycling and manufacturing projects in the UK and Germany, and strengthens the balance sheet in a crucial period as we continue to evaluate opportunities for rolling out HyProMag operations in additional jurisdictions and other new growth opportunities. The Company continues to engage with government and grant funding bodies in the USA, Europe and Asia to advance its projects across the rare earth supply chain.”
In parallel with development of its recycling and magnet manufacturing businesses, and following the definitive business combination agreement between wholly owned subsidiary, Lancaster Exploration and Crown PropTech Acquisitions announced in July 2025, Mkango is progressing towards the Nasdaq listing of its advanced stage Songwe Hill rare earths project in Malawi and Pulawy separation project in Poland. This will create a publicly traded, vertically integrated, global pureplay rare earths platform, against the backdrop of strong market sentiment in the rare earths sector and focus on development of more robust rare earth supply chains.”
