Wedoany.com Report-Sept. 9, Lotus Resources has successfully completed a placement to raise about A$65 million (USD 42 million) in support of its uranium projects in Africa. The funding will provide working capital for the company’s 85%-owned Kayelekera uranium project in Malawi and advance development of the 100%-owned Letlhakane project in Botswana.

Lotus Resources has received firm commitments from institutional and sophisticated investors for the issuance of around 342 million new fully paid ordinary shares.

The company secured firm commitments from institutional and sophisticated investors for the issue of approximately 342 million new fully paid ordinary shares at A$0.19 each. In addition, around 1.2 million new shares will be issued to directors, subject to shareholder approval. The offer price represents a 15.6% discount to the last closing share price and a 1.6% discount to the ten-day volume-weighted average price.

Proceeds from the placement will provide additional working capital for Kayelekera, which recently restarted production on schedule and within budget. The funds will also strengthen Lotus’ balance sheet, supporting flexibility in offtake strategy, inventory accumulation, and capital management. In parallel, resources will be directed toward advancing Letlhakane, one of the world’s largest undeveloped uranium deposits, positioning Lotus as a significant player in the global uranium sector.

Lotus CEO Greg Bittar stated: “The strong participation of existing and new institutional shareholders provides Lotus with greater working capital and balance sheet flexibility as we move through to steady state production and build uranium inventory. This provides further runway for us to capture upside from the increasingly bullish uranium market outlook.”

Barrenjoey Markets, Jett Capital Advisors, and Canaccord Genuity acted as joint lead managers for the placement, with Argonaut Securities and Petra Capital serving as co-managers. Legal advisory services were provided by Steinepreis Paganin.

Earlier this month, Lotus Resources produced the first batch of triuranium octoxide, also known as yellowcake, from the Kayelekera uranium mine. This milestone marks a significant step in the project’s restart and reinforces the mine’s role in the company’s growth strategy.

The placement underscores investor confidence in Lotus Resources’ projects and its potential to expand in the uranium sector. With Kayelekera operational and Letlhakane under development, Lotus is strengthening its financial and operational position to meet growing demand for nuclear fuel. The raised capital ensures flexibility to navigate market opportunities while continuing to build a sustainable long-term production base.

The combination of investor support, operational progress, and strategic development is expected to enhance Lotus’ role as an emerging global uranium producer. By securing additional resources and maintaining focus on project execution, the company is positioned to deliver value while contributing to energy supply diversification.