Herbert Smith Freehills advises Bowen Coking Coal Ltd on its approx. A$50 million equity raising

Herbert Smith Freehills is pleased to have advised Bowen Coking Coal Ltd (Bowen) on its fully underwritten ~A$50m equity raising, comprising a fully underwritten ~A$33 million pro rata accelerated non-renounceable entitlement offer and a ~A$17 million institutional placement. The equity raising launched on 2 November 2023.

Bowen is a coking coal producer based in Queensland that owns a portfolio of producing and development assets. Bowen’s focus is on its flagship Burton Mine Complex, where lower mining costs, infrastructure advantages and currently improved coking coal prices are intended to deliver strong returns on investment.

Proceeds of the equity raising are expected to provide Bowen with flexibility to fund ramp-up of mining at Ellensfield South Pit until it achieves steady-state production in H2 FY24 and completion of box cut activities, pre-payments, guarantees and general working capital requirements.

The Herbert Smith Freehills team was led by corporate partner Nicole Pedler, who was supported by solicitors Nick Venn, Charlotte Blackmore, and graduate Aislinn Grimley. The firm's Australian team worked closely with Herbert Smith Freehills' US securities lawyers, including partner Xavier Amadei and associate Elizabeth Bramon.

Nicole Pedler said, “We are delighted to have advised Bowen on its equity raising to unlock flexibility for the Bowen team to execute on its growth-focussed strategy. Bowen is a valued client, and we look forward to continuing to work with the Bowen team in the future."

Shaw & Partners and Petra Capital acted as Joint Lead Managers, Underwriters and Bookrunners to the equity raising. Grant Samuel acted as Financial Adviser to Bowen.