Invictus completes US$10m institutional placement ...

Invictus completes US$10m institutional placement for Cabora Bassa project

By Nyashadzashe Ndoro

Chief Reporter

In a significant boost to its Cabora Bassa Project, Invictus Energy Limited has secured a US$10 million investment through a strategic institutional placement, paving the way for the company's secondary listing on the Victoria Falls Stock Exchange (VFEX).

The placement, managed by Mangwana Capital, will facilitate the listing on VFEX scheduled for August 2, 2024.

The Mutapa Investment Fund of Zimbabwe, the country's sovereign wealth fund, underwrote US$5 million of the placement, demonstrating long-term support for the Cabora Bassa Project.

Invictus and Zimbabwean investors will now have the ability to hold and trade securities in the company through a dual listing on the VFEX.

The funds raised will be used to progress the Cabora Bassa Project, including flow testing, appraisal drilling, and reservoir engineering studies.

The placement will be carried out in two tranches, with the first tranche comprising the issue of approximately 98.5 million new shares to raise US$6.5 million, and the second tranche comprising an additional approximately 53 million new shares to raise US$3.5 million, subject to shareholder approval.

Invictus Energy Managing Director Scott Macmillan has expressed his appreciation for the support from institutional investors, particularly the Mutapa Investment Fund, which he believes validates the quality of the Cabora Bassa Project.

He outlined that the funds raised will be used to advance the project's dual strategy of early monetisation and further development, aiming to expand the resource base and transition into a development phase.

"This strategic capital raise and the support we have received from institutional investors, particularly the Mutapa Investment Fund, is testament to the quality of the Cabora Bassa Project," Macmillan commented.

"These funds will be used to progress our dual strategy of early monetisation as well as further development as we look to expand our resource base through further discovery and transition into a development phase.

"This Placement and associated dual listing of Invictus on the VFEX will also enable greater and ongoing domestic investment in the Company and our project."