After a long road to the ASX which started in May 2018, Trigg Mining (ASX: TMG) has reached an abrupt junction having finally commenced trading, only to fall 30% from their IPO Offer Price on opening day.
OnMarket - Trigg Mining Ltd IPO - ASX: TMG
The journey commenced in May 2018 when the Perth-base potash explorer sought to raise $2 million from their first IPO attempt at an Offer Price of 20c per share, having already secured $1.8m seed capital raised privately.
Ultimately electing to pull the IPO having not raised their required amount, Trigg Mining went ahead with their potash projects using seed capital funds before re-launching the IPO again in April 2019 with the aim of listing in June 2019.
Delays in the capital raise ultimately pushed the IPO closing date back, but were successful in their second IPO attempt, successfully raising $4.5m at a $0.20 Offer Price per share, before commencing trade on the ASX on 3 October 2019.
“We are delighted to complete the $4.5 million IPO and ASX listing of Trigg Mining,” said Managing Director, Keren Paterson.
“It is a significant milestone in the journey of the company and the funds raised will be used to advance the exploration and evaluation of the Laverton Links and Lake Throssell Sulphate of Potash Projects.”
Although the IPO was “widely supported” according to Paterson, the Company hit ASX boards on an unfortunate day in which the All Ordinaries fell 2.1%, the Australian market’s third biggest single-day fall of 2019.
Over the course of the three hours in which Trigg Mining traded on the ASX, it was a difficult watch for shareholders who saw the price slide down to close $0.14, a 30% decline on their IPO Offer Price.
Unlike other explorers hitting ASX boards for the first time, Trigg Mining has already identified SOP (Sulphate of Potash) across half of their 2,640 km2 of tenements, including a JORC Compliant Exploration Target.
Potassium and sulphur are two essential macronutrients used in essential fertilisers for many Australian agricultural crops.
At present, all SOP in Australia is imported from overseas.