Victoria Falls Stock Exchange and Australia Stock Exchange-listed oil and gas exploration company Invictus Energy Limited has successfully completed the second tranche of its US$10 million institutional capital raise, managed by Mangwana Capital (Private) Limited, to fund the next phase of its Cabora Bassa Project (Muzarabani oil and gas project), Mining Zimbabwe can report.
By Rudairo Mapuranga
The capital raise, which has garnered strong support from both local and institutional investors, was completed at AU$0.10 per share, marking a significant milestone for the company and Zimbabwe’s energy landscape.
The placement received overwhelming interest, leading to an additional US$2 million in oversubscriptions.
Invictus Energy accepted the oversubscriptions, resulting in the issuance of 31,298,025 new shares on the same terms as the initial offering. This brings the total number of new shares issued under the second tranche to 53,030,303.
Invictus Energy Managing Director Scott Macmillan expressed his appreciation for the support received, stating that the capital raise has demonstrated growing investor confidence in Zimbabwe’s energy sector, setting the stage for further exploration and development.
“The completion of this strategic capital raise is a testament to the strong investor confidence in our Cabora Bassa Project and its potential to drive transformative growth in Zimbabwe’s energy landscape. We are grateful for the enduring and overwhelming local and institutional support,” he said.
Macmillan emphasized that the capital secured will enable Invictus to accelerate exploration and development activities at the Cabora Bassa Project.
“With the capital secured, we are equipped to accelerate the next phase of our exploration and development activities at the Cabora Bassa Project. We remain committed to delivering long-term value for our shareholders and contributing to Zimbabwe’s energy independence and economic growth,” he added.
The raise, completed with the approval of shareholders at an Extraordinary General Meeting held on 21 October 2024, saw participants issue Zimbabwe Depository Receipts (ZDRs) on the Victoria Falls Stock Exchange (VFEX). This secondary listing on VFEX aims to support local liquidity and provide Zimbabwean investors with the opportunity to trade in Invictus securities.
“This strategic investment is historic for both Invictus and investors in Zimbabwe, who can now hold and trade securities in the company through its listing on the Victoria Falls Stock Exchange. It highlights the importance of local participation in Zimbabwe’s energy future,” Macmillan commented.
Mangwana Capital, the managing firm for the capital raise, was paid a 5% fee on the funds raised, partially settled through the issuance of 2,711,208 new shares at AU$0.10, with the balance settled in cash.
Participants in the placement will also have the option to acquire an additional share for every four shares subscribed under the Private Placement, exercisable at AU$0.30 within a two-year period. The total capital raised will support the ongoing work on the Cabora Bassa Project, a venture seen as pivotal in shaping Zimbabwe’s energy future.
