Peta 1, Las Petacas Project in Chile. Source: Culpeo Minerals
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  • Culpeo Minerals (CPO) enters into an at-the-market subscription agreement (ATM) with Acuity Capital
  • This provides Culpeo with up to $3 million of standby equity capital over the coming 25 months, giving it financial flexibility for exploration in Chile
  • MD Max Tuesley sees the agreement as part of a mix of funding methods that will provide an efficient and optimised blend for the benefit of all shareholders of the company
  • If Culpeo does decide to utilise the ATM, it may set a price floor with the final issue price being calculated as the greater of the nominated floor price and up to a 10 per cent discount to a VWAP
  • Shares in Culpeo are up 4.26 per cent, trading at 24.5 cents as of 1:13 pm AEST

Culpeo Minerals (CPO) has entered into an at-the-market subscription agreement (ATM) with Acuity Capital.

The ATM provides Culpeo with up to $3 million of standby equity capital over the coming 25 months and gives the company financial flexibility for planned exploration activities at its copper project portfolio in Chile.

The company confirmed it will retain full control of all aspects of the subscription process, having sole discretion over decisions including ATM utilisation and the maximum number of shares to be issued.

There is no obligation for Culpeo to utilise the ATM and Culpeo may terminate the agreement at any time, without cost or penalty.

Further, Acuity Capital and the ATM do not place any restrictions at any time on Culpeo raising capital through other methods.

Managing Director Max Tuesley said the facility gives the company flexibility and an additional method of funding the exploration activities in Chile which have gained significant market attention.

“We see the ATM as part of a mix of funding methods that will provide an efficient and optimised blend for the benefit of all shareholders of the company.”

As security for the ATM, the company has agreed to place 2.8 million Culpeo shares from its placement capacity and may at any time cancel the ATM as well as buy back and cancel these shares for nil consideration, subject to shareholder approval.

If Culpeo does decide to utilise the ATM, Culpeo is able to set a price floor with the final issue price being calculated as the greater of the nominated floor price and up to a 10 per cent discount to a volume-weighted average price over a period of Culpeo’s choosing.

Shares in Culpeo were up 4.26 per cent, trading at 24.5 cents as of 1:13 pm AEST.

CPO by the numbers
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