Lynas Rare Earths (ASX:LYC) is looking to raise as much as $825 million to further its capacity to produce “reliable” – and maybe more importantly – non-Chinese critical minerals as global demand continues to spike.
Listen to the HotCopper podcast for in-depth discussions and insights on all the biggest headlines from throughout the week. On Spotify, Apple, and more.
The $13.7 billion minerals producer ranks as the largest outside China and has been enjoying a 2025 surge as countries look to cut Beijing out.
Lynas has already launched a fully underwritten placement to raise $750M; it’s coupling that with a non-underwritten share purchase plan that it hopes will add another $75M to its growing coffers by September.
All this comes at the same time that the Perth-headquartered miner unveiled its “Towards 2030” plan. The campaign is designed to “optimise performance from [these]… 2025 capital investments” and help pursue growth.
“The equity raising provides Lynas with the balance sheet strength to pursue a strong growth agenda,” Lynas’ managing director Amanda Lacaze explained.
“The rare earths market is rapidly evolving and we need to move at pace to maximise value from existing assets and create further value from opportunities. This includes continuing to grow our operations to serve the customers, downstream players, and governments who seek to partner,” Ms Lacaze said.
Lynas will also be taking another look at its capital discipline and general “rigour” to make sure it’s on the right track before its $825M windfall.
And, Ms Lacaze declared Lynas will “continue to engage with customers and governments on a range of initiatives to support the continued investment in and production of rare earths” as it works through the cap raise.
Macquarie Capital and Barrenjoy are working to bring investors on board for the raise.
There’ll be no M&A involved, the AFR said fund managers were told today.
LYC headed into Thursday at $14.73; it paused mid-morning.
Join the discussion. See what HotCopper users are saying about Lynas Rare Earths Ltd and be part of the conversations that move the markets.
The material provided in this article is for information only and should not be treated as investment advice. Viewers are encouraged to conduct their own research and consult with a certified financial advisor before making any investment decisions. For full disclaimer information, please clickhere.