Underwriter Patersons subscribed to 10,073,813 shares after investors applied for 14,193,183 shares.
Shareholders had only been permitted to apply for one new share for each eight they held.
The underwriter’s shares were valued at $3.62 million, using the 36-cent issue price.
Peel Mining will issue Patersons with its shortfall shares tomorrow on October 9, with the shares to start trading on Wednesday, October 10.
Once all the shares have been issued under the entitlement issue, Peel Mining will have 218,502,965 shares on issue and 8.2 million unexercised options.
Last month, Peel completed an oversubscribed placement raising $3.6 million, with today’s rights issue putting its takings at $12.3 million.
St Barbara Ltd (ASX:SBM) lifted its stake in Peel to 17.9%, with the company named as Peel’s top shareholder in its September 28 annual report.
Peel is advancing its tenements in New South Wales, including the Wagga Tank-Southern Nights Project which is emerging as one of the most significant zinc polymetallic (zinc-and-copper, gold, silver and lead) discoveries in Australia in recent years.
The capital raised from Peel’s two offerings will help it fully-fund a maiden JORC resource at Wagga Tank and advance Mallee Bull towards production.