Maca in $60m placement

Mining and civil contractor MACA has raised $60 million to expand its mining fleet, driven by what the company described as an exceptional pipeline of available work.

It comes just days after the contractor was awarded work at the Pilbara Minerals’ Pilgangoora lithium project, with Maca to be mining at the open pit site starting in November.

Maca will issue 33.4 million shares at a price of $1.80 each, a 7.5 per cent discount to the company’s five-day volume-weighted average price.

Perth-based financial services business Hartleys acted as lead manager for the raising, which was oversubscribed.

Maca managing director Chris Tuckwell said the placement had attracted support from institutional and professional investors.

“Maca’s strong balance sheet ensures that we are ideally positioned to continue to win new work from what is a very strong pipeline, and to pursue value accretive growth opportunities for our business,” he said.

The company indicated it would retain a substantial cash balance following the raising, with part of the new cash to go towards working capital needs.

The placement will not need shareholder approval, however, as it is covered under the ASX’s 15 per cent placement capacity rule.

Shares in Maca fell 0.15 per cent to $1.95 each at the time of writing.