Why the Calix (ASX:CXL) share price is down today

The Calix Ld (ASX: CXL) share price is down 2.67% today, as the company embraces a future-focused technology, funded by a share placement.

| More on:

Should you invest $1,000 in Australian Potash right now?

Before you buy Australian Potash shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Australian Potash wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Calix Ltd (ASX: CXL) share price opened 5% lower this morning, as the company declared its plans to embrace future-focused technology, funded by a share placement.

The tech company announced it would accelerate its investments in environmental, social and corporate governance (ESG) projects. At the time of writing, the Calix share price is trading at $2.19, down 2.67%.

Let's take a closer look at what the tech company announced this morning.

Environmentally-friendly tech

In today's release, Calix advised it will issue 7 million new shares to sophisticated and professional investors at $2 each, hoping to raise $14 million for its technology projects. It was also offering a new share purchase plan to existing eligible shareholders, worth up to $30,000 per shareholder and capped at $3 million.

A large portion of the capital raised will go towards the company's lithium manganese oxide (LMO) technology for lithium-ion cathodes. Calix specified that $4.5 million of the funds would be used to expand its testing program and lab capacity for the technology.

The company claims its LMO technology uses 6 times less energy in production than conventional manufacturing methods.

The capital raised from the share placement will also go towards the company's other green projects. These include:

  • Technology to reduce CO2 emissions in the cement, lime, and magnesia industries.
  • A non-toxic, broad-spectrum fertiliser with anti-fungal and anti-pest properties.
  • An earth-friendly product for wastewater treatment and another to refresh freshwater systems prone to green-algae outbreaks.
  • Several trials and studies for more sustainable processing of various minerals and chemicals.

The announcement's accompanying investor presentation showed Calix's belief in the importance of ESG strategies.

Commentary from management

Calix CEO Phil Hodgson said Calix had received a "significant increase" in investors asking after its ESG strategies.

To turn these enquiries into value, we need more engineers, equipment, and dealmakers.

Following a strategic review on generating best value for our shareholders, we felt it was the right time to hit the accelerator and access some additional capital to fully resource these opportunities.

Calix share price snapshot

The Calix share price has risen by 109.7% year to date, having started the year trading at $1.03. It is also up by 224% over the last 12 months.

Calix has a market capitalisation of around $334 million with approximately 148 million shares outstanding, although that number will increase by at least 7 million next week.  

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

Person pretends to types on laptop drawn in sand.
Share Gainers

Here are the top 10 ASX 200 shares today

It was a happy finish to the week for ASX shares this Friday.

Read more »

Three people in a corporate office pour over a tablet, ready to invest.
Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A mature age woman with a groovy short haircut and glasses, sits at her computer, pen in hand thinking about information she is seeing on the screen.
Share Market News

ASX shares in April: 8 key takeaways according to Macquarie

Here are eight key takeaways from April, according to a new note from the broker.

Read more »

Woman looking at a phone with stock market bars in the background.
Share Market News

Market outlook: Should I 'sell in May and go away'?

May is the time to sell... If you believe in fairytales.

Read more »

Five young people sit in a row having fun and interacting with their mobile phones.
Share Gainers

5 ASX All Ords stocks rocketing higher this week

Investors sent these five ASX All Ords stocks soaring this week. But why?

Read more »

Frustrated stock trader screaming while looking at mobile phone, symbolising a falling share price.
Share Fallers

Why Block, Corporate Travel Management, Judo, and Zip shares are sinking today

These shares are missing out on the good times on Friday. But why?

Read more »

Overjoyed man celebrating success with yes gesture after getting some good news on mobile.
Share Gainers

Why Boss Energy, Capstone, Dimerix, and Platinum shares are storming higher today

These shares are having a good finish to the week. Let's find out why.

Read more »

A shocked man holding some documents in the living room.
Broker Notes

Macquarie's take on Judo Capital shares after suddenly falling 19% yesterday?

Judo Bank was the ASX's top-performing banking stock in 2024.

Read more »