08:59 AM EST, 03/07/2025 (MT Newswires) -- Cadiz (CDZI) said Friday it entered into a placement agent agreement to sell 5.7 million shares in a registered direct offering at $3.50 per share to raise about $20 million in gross proceeds.

The company said the offering, set to close with institutional investors on March 10, 2025, will fund its Mojave Groundwater Bank project development in the Mojave Desert.

The funds will cover capital expenses, equipment, and materials for pipeline construction, wellfield infrastructure, and general corporate purposes, it added.

Shares of the company fell more than 9% in recent premarket trading.