FNX Mining out to raise cash for “future business opportunities.”

FNX Mining is out to raise $125 million through bought deal financing.

The Toronto junior copper-nickel miner, with operations in Sudbury, announced Aug. 18, it has entered into an agreement with a syndicate of underwriters led by BMO Capital Markets and GMP Securities. Under the deal, the underwriters have agreed to purchase 13,000,000 units. Each unit consists of one common share and one-half of one common share purchase warrant at a price of $9.65 per unit.

The company said the proceeds will be used to take advantage of “future business opportunities and for general corporate purposes.”

The offering closes Sept. 9.

Despite challenging times in the mining industry, FNX still posted a $12.5 million profit during its second quarter ending June 30. The company attributes the results to their program of stringent spending controls.

While FNX faces challenges at its two Sudbury mines because of an extended shutdown of the Vale Inco smelter due to a strike, the company struck a deal across town with Xstrata to process 150,000-tonnes of ore at the Strathcona mill near Sudbury. FNX had stockpiled 120,000-tons of copper-nickel ore from its Podolsky and McCreedy West Mines.