Vulcan Energy drops on discounted equity raise in $2.6 billion financing package

Vulcan Energy Resources

04/12/2025 24:59

** Shares of lithium explorer Vulcan Energy Resources VUL.AX fall as much as 33% to A$4.11, their lowest level since September 25

** The Australia-listed company secured on Wednesday a financing package of 2.2 billion euros ($2.56 billion) for its Lionheart lithium and renewable energy project in Germany

** Financing package included equity raise of up to 603 million euros at fixed price of 2.24 euros or A$4 per new share

** Offer Price represents a discount of 22% to Tuesday's close

** Trading in VUL shares were halted on Wednesday pending the announcement

     ** About 3.9 million shares change hands, 3.8x the 30-day average
** YTD, stock down 21.4%, including the day's move

($1 = 0.8578 euros)

 (Reporting by Sherin Sunny in Bengaluru)

 ((Sherin.Sunny@thomsonreuters.com))