Energy Fuels slides after $550 mln convertible bonds sale announced

Energy Fuels

29/09/2025 21:53

** Shares of uranium and rare earths miner Energy Fuels UUUU.A down 6.8% at $15.40 in extended trading after planned capital raise news

** Lakewood, Colorado-headquartered firm announces private offering of $550 mln convertible bonds due 2031

** Co plans to use net offering proceeds to fund development expenditures and project financing for its planned Phase 2 rare earth separations circuit expansion at the White Mesa Mill, as well as project financing for its Donald heavy mineral sands and rare earth project in Australia, among other uses

** It also intends to use portion of proceeds to pay cost of capped calls, derivative transactions employed to help offset potential dilution

** With ~230.67 mln shares outstanding, co has $3.8 bln market cap

** UUUU shares on Mon finished session down 1.1% at $16.52, trimming YTD gain to 222%

** Of 3 analysts covering UUUU, 2 rate "buy" and 1 rates "hold"; median PT is $11, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))