Investing.com — shares tumbled over 10% on Wednesday after the Ukrainian iron ore miner said it had enough cash to last only until end-June and was exploring an equity raise to plug a potential funding gap.
Shares traded at 40.50 pence, down from an open of 49.40 pence, touching an intraday low of 38 pence on volume of 3.28 million shares.
The company said net accessible cash stood at approximately $22 million as of March 31, against $47 million at end-December 2025.
Available cash was $35 million with no debt drawn, reduced after accounting for funds held with MBaer Merchant Bank.
“The Group estimates that it has sufficient cash until at least the end of June 2026,” Ferrexpo said, adding it was reviewing “potential funding options, which could include an equity capital raise.” It cautioned it could not be certain such options would succeed.
Ferrexpo said Ukraine continued to withhold VAT refunds through the first quarter, bringing the total owed to approximately $80 million at end-March.
The company warned that if the issue was not resolved “in sufficient time, this could give rise to material negative consequences.”
One pellet line remained in operation after attacks on Ukrainian energy infrastructure in January 2026 disrupted output. The company said production had partially recovered following improvements in electricity availability and pricing.
To conserve cash, Ferrexpo cut employee working hours, suspended non-essential capital expenditure and halted all non-essential procurement, overheads and corporate social responsibility activities.
The company said it required more time to finalise its annual accounts but expected to publish them on or before April 30.