Regal raises $90m for resources fund

Regal Funds Management has raised a new $90 million long/short resources fund, to be led by the firm’s head of mining Tim Elliott and chief investment officer Phil King.

It is understood Regal capped the resources fund at a $90 million capacity, but is expected to open it for new investors in the second half of 2022.

The new fund, dubbed Regal Resources Long Short Fund, will focus on opportunities in the mining and resources sector, and is based on an in-house strategy run by Elliott.

Elliott joined Regal as a portfolio manager in 2018, from Glencore where he was the executive general manager for business development and strategy, and led M&A transactions for a Glencore division.

Elliott’s resources strategy has delivered over 23 per cent a year since inception in 2018, the firm told potential investors. It added that it was the first time they could invest directly in his strategy.

It is understood the fund secured backing from a bunch of family offices and high net worth investors, and the raising closed at $90 million.

While Regal hasn’t run a standalone resources fund, it has been a frequently sighted investor in the sector.

To name a few, Regal’s name has cropped up as a backer at Lithium-sulphur battery play Li-S Energy, Western Australia miner Chalice Mining, lithium miner Orocobre which was in a $4 billion merger with Galaxy Resources, mineral sands explorer Perpetual Resources, coking coal outfit Montem Resources, Queensland coal miner Coronado Global Resources and Trident Resources.