Dilution Watch — week ending 15 September 2026

The week in ASX capital raises and dilution, from the filings themselves. Every figure comes from ASX announcements as published on DilutionLens. This edition covers the five sessions from Friday 11 to Tuesday 15 September; from here on the Watch lands each Monday over the previous Monday to Friday.

Eight companies announced raises between 11 and 15 September for about A$46M in disclosed proceeds, and one rights issue carried most of it: without the top three, the other five disclosed A$8.7M between them. Four of the eight arrived as trading halts lifted — KAL on Monday morning, MHC, DWG and CYQ inside forty minutes of each other on Tuesday. The halt conveyor kept its pace: 8 companies halted citing a capital raise in the five sessions, against 10 and 21 in the two editions before.

The week's biggest raises

  • TZN — Terramin Australia launched a A$28.7M non-renounceable rights issue at 1.8 cents, one new share for every 1.5 held (14 September) — a 21.5% discount to the 15-day VWAP, and up to 1.59 billion new shares on a 2.39 billion register. The prospectus says the offer is partially underwritten to A$25.65M: A$15.65M by 45.5% holder Asipac by way of debt-to-equity conversion, with proceeds going partly to repay Asipac's loans, and A$10M by Feny. Asipac will not take up its own entitlement. Its October 2025 issue of just over a billion shares was priced at 3.8 cents; the June quarterly's own estimate is 1.94 quarters of funding. Dilution risk: Low.
  • MHC — Manhattan Gold placed A$4.5M at 2 cents (15 September), a 20% discount to the last close: 225M shares on a 749M register, about 30% more shares. The announcement states the split — 168M now, being 93,554,946 under the 15% and 74,445,054 under the extra 10% (Listing Rule 7.1A), and 57M more that wait for the 6 November meeting. A one-for-four options entitlement at 2.5 cents follows the meeting. The June quarterly shows A$2.0M cash and the company's own estimate of 1.0 quarter of funding; the options overhang is 31% of the register. Dilution risk: Very high.
  • DWG — Dataworks Group announced A$4.24M (15 September): a A$3.0M placement at 12 cents, a 20% discount to the last close, plus a one-for-ten entitlement offer at the same price for about A$1.24M. The placement uses 14,694,568 shares under the 15% and 10,305,432 under the extra 10%; every two new shares carry a free option at 20 cents to December 2027. If the offer fills, the register grows about 34%. Its 8.9M options at 40 cents lapse on 18 September with the stock at 15 cents. Dilution risk: Minimal.
  • KAL — Kalgoorlie Gold Mining raised A$3.4M at 2 cents (14 September): a 113.5M-share placement, a 13% discount, plus a fully underwritten one-for-ten entitlement offer for 56.9M more. The announcement calls it the company's full placement capacity — 67,949,000 shares under the 15% and 45,551,000 under the extra 10%. The register goes from 455.9M to 626.3M, up 37%; its 2024 placements were priced at 2.6 cents and its March 2025 placement at 6 cents. June quarterly: A$1.8M cash, 1.65 quarters by its own estimate. Dilution risk: Very high.
  • BRY — Barys Resources opened a A$2.6M renounceable entitlement offer at 1 cent, one new share for every one held (14 September), a 41% discount to the 1.7-cent close, partially underwritten by the lead manager. It opens 23 September and closes 7 October. The company consolidated 20-for-1 in July and relisted from its old code, so no share-count growth figure is given here. Dilution risk: Low.
  • CYQ — Cycliq placed A$1.5M at 0.25 cents (15 September), a 49.4% discount to the half-cent close — 600M new shares on a 460.5M register, so the register more than doubles. Only 69,077,498 of them fit under the 15%; the other 530,922,502 need the annual meeting's approval, as do 300M free attaching options at 0.5 cents and a further 300M at 1 cent behind them. Dilution risk: Minimal on current disclosures — the raise is not in the filings the score reads yet.

The rest of the week: VR8 a A$1.0M placement at 3.2 cents — 15.8% under the last close but 16.5% above the 15-day VWAP, and only 4.7% of the register — and AS2 a A$150K placement. One A$13.5M item in the feed, AKM, is a subsidiary's bond program on the Mongolian OTC market rather than shares, and is left out of the count.

New this week: the capacity page

Placement capacity now has its own page: every company whose last 12 months of Appendix 3B filings have used three-quarters or more of the 15% allowance under Listing Rule 7.1, exhausted first. Today it lists 187 companies past 75%, 123 past 90%, and 29 that have used all of it (a thirtieth is suspended from quotation); 85 of the 187 have also drawn on the extra 10% mandate. It is our estimate from the filings, before any later ratification, and 1,409 companies carry one. This week's illustration is Tuesday morning: all three of the day's placements — KAL, MHC and DWG — drew on the 7.1A mandate as well as the 15%, and KalGold's announcement says it used the lot.

The halt conveyor

Eight companies halted for a capital raise in five sessions — CYQ, DWG, ENV, HIT, IOV, M2R, MHC and MI6 — against 10 in the edition to 10 September and 21 the week before that. Three have announced. MI6 (funding and an equity raising), HIT (a material capital raising), ENV (a raise and a project acquisition), IOV and M2R were still halted when the week closed, all due back on Wednesday 16 September.

Thirty-two retail offers are open right now

Holders in 32 companies are inside a retail take-up window — 15 share purchase plans, 14 entitlement offers and 3 rights issues, up from 29 last week. Three opened this week: KAL (entitlement offer, 14 September), BRY (entitlement offer, 14 September) and TZN (rights issue, 14 September), with DWG's entitlement offer to follow. The oldest still running, PR2 and X2M, opened on 24 July. Each company page shows the register those offers land on — the options overhang, raise history and cash position the offer document assumes you already know.

Overhangs worth watching among the week's raisers

  • AS2 — Askari Metals: options and rights convertible into 97.3% of the current register sit behind a A$150K placement, none in the money at the current price, on a share count up 784% over 24 months and one quarter of cash by its own quarterly's estimate. Dilution risk: Very high.
  • EVG — Evion Group: a 48.4% overhang, of which 60.2M options at 3 cents lapse on 27 September — the company has offered those holders a new option each rather than a cash raise. Dilution risk: High.
  • KAL (31.5%), MHC (31.1%) and DWG (22.4%) all raised with more than a fifth of the register in potential new shares, before this week's attaching and entitlement options are counted.

Chart of the week: what the week's raises cost holders

Two numbers per raise — the discount the new money got, and how much bigger the register becomes if the raise fills. CYQ: 49.4% under the close, register +130%. BRY: 41%, +100%. TZN: 21.5% under VWAP, +67%. KAL: 13%, +37%. DWG: 20%, +34%. MHC: 20%, +30%. VR8: a premium to VWAP, +4.7%. Five of the seven priced at a fifth or more below the last close, and five of them add a third or more to the share count. That is the week's shape: small caps, deep discounts, and entitlement offers doing the work the placement capacity could not.

Across all 1,825 companies the cash-cover bands split: 515 at 4+ quarters, 211 at 2–4 quarters, 357 under 2 quarters, and 742 with no current quarterly report (larger companies generally aren't required to file one). The market currently splits: 569 Minimal, 349 Low, 383 Moderate, 255 High, 171 Very high, and 98 Not rated — about one in four rated companies sits at High or Very high dilution risk.

Dilution Watch is compiled from ASX announcements (Appendix filings, quarterly cash reports and raise notices) as published on DilutionLens. General information only, not financial advice; no view is expressed on any company's future actions or securities.