Panther Metals PLC (LON: PALM) has agreed a Canadian flow-through financing raising £2.22 million, or C$4.16 million, to advance its critical-minerals exploration programme in Canada.
The company will issue 980,398 flow-through units at £2.26 each, equivalent to C$4.24 per unit.
The issue price represents a 24% premium to Panther’s closing share price on 7 October, reflecting the tax benefits available to qualifying Canadian investors through the flow-through structure.
Each unit comprises one ordinary Panther share and half of one warrant.
The resulting 490,199 whole warrants will be exercisable at £2.67 per share for 36 months following completion.
Panther said it is the first solely UK-listed company to seek to complete a Canadian flow-through financing, potentially opening an additional funding route for its Canadian exploration portfolio.
The transaction is being facilitated by PearTree Securities, with SI Capital acting as UK placing agent.
Following completion, SI Capital will facilitate a secondary block trade of the flow-through units to selected UK and US institutional investors.
Importantly, the tax benefits attach only to the original qualifying Canadian subscribers and do not transfer to subsequent purchasers.
The proceeds are also restricted.
Panther must spend the funds on qualifying Canadian exploration expenses and critical-mineral mining expenditures, meaning they cannot be used for general corporate working capital.
The financing will primarily support the continuation of the Phase 1 diamond drilling programme at the Wishbone VMS Prospect within the Obonga Project in northwest Ontario into 2027.
Darren Hazelwood, Chief Executive Officer, commented: “Panther Metals is the first solely UK-listed company to look to execute a Canadian flow-through financing. This is a significant achievement for the Company and opens a new funding gateway where the subscription premium to market available through flow-through capital can benefit both our shareholders and our corporate funding strategy.
Importantly, on closing, this financing will fully fund all our planned exploration requirements for the next 12 months and will complete one of the final requirements on our path towards a CSE listing.
I am incredibly proud of the team for getting this to this stage. We have broken new ground for a UK-listed company and are looking to establish a funding route that we believe can continue to benefit Panther well into the future.
The Company is now in excellent shape to deliver across our asset base. We will have the funding, the projects and the strategy. Our focus now is simple: deliver.”
Completion is expected on or around 16 October 2026, subject to regulatory approvals and customary closing conditions.
Following admission of the new shares, Panther expects to have approximately 12.17 million ordinary shares in issue, with the new shares representing about 8% of the enlarged share capital.
For investors, the notable feature is that Panther has secured exploration funding at a premium rather than the discount commonly associated with junior-resource equity raises.
The trade-off is additional dilution and potential future dilution from the warrants, while the commercial value of the financing will ultimately depend on whether the expanded Wishbone drilling programme delivers results capable of materially advancing the project.
