Infinity Mining (ASX:IMI) said that it is undertaking a pro-rata non-renounceable entitlement issue to raise up to AU$282,010, according to a Friday filing with the Australian bourse.

The offer will provide eligible shareholders with the opportunity to subscribe for two new options for every three fully paid ordinary shares they hold, the filing said.

Each new option will be exercisable at AU$0.02 per share, expiring 42 months from issue, at an issue price of AU$0.001 per option, the filing added.

Funds raised will be used to cover the expenses of the offer and provide general working capital, the company said.

Shares of the company jumped 31% on market close.