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Caledonia Mining ( (CMCL) ) just unveiled an update.
Caledonia Mining has priced an upsized private offering of $125 million of 5.875% convertible senior notes due 2033, increased from a previously planned $100 million, and granted initial purchasers an option to buy an additional $25 million of notes. The notes, which are senior unsecured and convertible into cash, Caledonia common shares or a combination thereof at an initial conversion price of about $40.51 per share, are expected to generate net proceeds of about $120.2 million, which the company plans to use to fund capped call transactions, advance development of the Bilboes gold project in Zimbabwe, and support general corporate and operational needs, thereby enhancing its financial flexibility and potentially limiting shareholder dilution through associated capped call hedging arrangements.
The most recent analyst rating on (CMCL) stock is a Buy with a $37.00 price target. To see the full list of analyst forecasts on Caledonia Mining stock, see the CMCL Stock Forecast page.
Spark’s Take on CMCL Stock
According to Spark, TipRanks’ AI Analyst, CMCL is a Outperform.
The score is led by strong financial performance (profitability, low leverage, improving cash generation) and supportive valuation (low P/E with a dividend). Technicals are positive but appear overbought, and the earnings call mixed strong results and liquidity with higher cost guidance and an operational fatality.
To see Spark’s full report on CMCL stock, click here.
More about Caledonia Mining
Caledonia Mining Corporation Plc is a gold producer listed on the NYSE American, AIM and the Victoria Falls Stock Exchange, with key assets and growth projects in Zimbabwe, including the Bilboes gold project. The company focuses on developing and expanding its gold mining operations while maintaining access to international capital markets through multiple listings.
Average Trading Volume: 254,593
Technical Sentiment Signal: Buy
Current Market Cap: $629.9M
See more insights into CMCL stock on TipRanks’ Stock Analysis page.