VHM (ASX:VHM) will raise about AU$10.3 million via the issue of about 29.5 million new fully paid ordinary shares at AU$0.35 per share, according to a Friday filing with the Australian bourse.

The issue price represents a 27.6% discount to the company's five-day volume-weighted average price, the filing said.

In addition, eligible shareholders may subscribe for new fully-paid ordinary shares at the same price via a share purchase plan to raise additional AU$1 million, the filing added.

Funds raised will be used to take the company's Goschen project in Victoria to a final investment decision by the first half of 2026, the company said.

The new shares are expected to settle on Dec. 19, the company added.