Yellow Cake, a British firm focused on uranium, has raised $175 million by issuing approximately 23 million new shares to institutional investors. With a portion of the proceeds, the company aims to purchase uranium from Kazakhstan.
Priced at £5.64 each, the new shares accounted for 10.6% of the pre-transaction capital. The AIM market is scheduled to begin trading these shares on Sept. 29.
Proceeds will be used to exercise an option to purchase uranium from Kazatomprom, Kazakhstan’s uranium giant, in 2025, as well as for additional acquisitions.
According to Kazakhstan’s Association of Financiers, Yellow Cake intends to buy 1.33 million pounds of uranium from Kazatomprom at $75.08 per pound, totaling roughly $99.9 million.
Currently, Yellow Cake stores 21.68 million pounds of uranium oxide (U3O8) across facilities in Canada and France. Upon completing the planned purchases, its total holdings will surpass 23 million pounds.
