Pioneer Credit (ASX:PNC) received firm commitments to raise AU$17 million through the issue of about 28.3 million new shares at AU$0.60 apiece, according to a Monday filing with the Australian bourse.

Proceeds will be used to fund further investment in purchased debt portfolios (PDP), the filing said.

The company issued fiscal year 2027 PDP investment guidance of between AU$100 million and AU$110 million, with AU$77 million expected under forward flow arrangements.

Cash collections of AU$170 million to AU$180 million are also expected in fiscal year 2027, per the filing.

Shares fell 11% in morning trade on Monday.