Atomic Eagle's (ASX:AEU) largest shareholder, Menel Energy and Resources, signed a binding commitment to exercise 35.1 million options early at AU$0.31 apiece on or before Oct. 28, injecting roughly AU$10.9 million in cash into the company, according to a Monday filing with the Australian bourse.

Menel Energy and Resources agreed to exercise its options and provide the corresponding proceeds to the company about six months before the options' expiry date of May 5, 2027, the filing said.

Proceeds will boost available cash to about AU$23 million, allowing the company to fund its growth strategy through 2028 without needing near-term equity financing, per the filing.

Atomic Eagle shares fell 3% in morning trade Monday.