Each week I like to look at the upcoming IPOs which are happening on the ASX. It gives me a chance to see if there are any future stars being listed and perhaps get in early on that success story.
Every single share that currently trades on the ASX was a newly-listed share at one point, they should not be avoided just because they are new.
A new float is usually when a private company is looking to sell a small or large portion of the business to new investors. The funds are typically needed for the growth of the business, such as buying property, funding product development or making an acquisition.
If any of the below shares sound interesting, you should read the prospectus to see if you want to invest.
According to ASX Ltd (ASX: ASX) there are a few upcoming listings:
Caprice Resources Ltd (ASX: CRS)
The company's principal activity is mining and exploration.
It's a newly formed company that has four exploration licences covering two projects in the Northern Territory and Western Australia. The projects are located in proven mineralised belts according to the company. Gold, silver, lead and copper are the targeted resources.
The company is looking to raise $4.5 million at $0.20 per share and then list on 9 October 2018.
Cowan Lithium Limited (ASX: COW)
Its principal activity is mineral exploration.
It's also a fairly newly-formed business. Cowan acquired its projects following a demerger of assets by lithium producer Tawana Resources NL (ASX: TAW). Tawana holds a 15% interest in Cowan Lithium, and the companies have a strategic exploration relationship.
Cowan is looking at raise $8 million at $0.20 per share and list today, 8 October 2018.
Golden State Mining Limited (ASX: GSM)
Its principal activity is also mining exploration.
The company has three prospective projects in Western Australia. The Cue Project is located in a historic gold mining region and the Yule project is located in an 'emerging' gold and lithium area. The Four Mile Well Project is located in a region where other major gold deposits had been found.
The company is looking to raise $5.5 million at $0.20 per share and then list on 12 October 2018.
Foolish takeaway
Three resource companies are listing this week. I wish them all the best, but none of them are interesting investment opportunities to me so I'm giving them a miss.
