Why Breville, European Lithium, Reece, and St Barbara shares are sinking today

These shares are falling more than most today. But why?

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Key points

  • A leading appliance manufacturer sees its stock decline amidst a broader downturn in the consumer discretionary sector.
  • A plumbing parts company's shares fall after going ex-dividend ahead of its final FY 2025 dividend payment.
  • A gold miner's share price decreases following the announcement of a discounted institutional placement to fund strategic projects.

In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is on course to record a small decline. At the time of writing, the benchmark index is down 0.2% to 8,964.6 points.

Four ASX shares that are falling more than most today are listed below. Here's why they are dropping:

Breville Group Ltd (ASX: BRG)

The Breville share price is down 4.5% to $28.26. This is despite there being no news out of the appliance manufacturer. However, it is worth noting that consumer discretionary sector is out of form today. So much so, the S&P/ASX 200 Cons Disc index is down 1.1% at the time of writing.

European Lithium Ltd (ASX: EUR)

The European Lithium share price is down 33% to 16.7 cents. This morning, this lithium explorer advised that Critical Metals Corp. (NASDAQ: CRML) has sold 3 million CRML shares to a single US institutional investor at US$7 per share. This represents a 12% discount to its last close price. This has raised US$21 million (A$31.75 million) in net proceeds for European Lithium. The company's executive chair, Tony Sage, said: "This transaction again highlights the value of the Company's holding in CRML. The remaining 60 million shares held in CRML, using the $US11.50 closing price on the Nasdaq yesterday, values the Company's holding at approximately $US689M ($A1,061m), which is well above the current market capitalisation of EUR."

Reece Ltd (ASX: REH)

The Reece share price is down over 4% to $11.12. This has been driven by the plumbing parts company's shares going ex-dividend this morning for its final dividend of FY 2025. In August, the company released its full year results and declared a fully franked final dividend of 11.9 cents per share. This will be paid to eligible shareholders later this month on 22 October.

St Barbara Ltd (ASX: SBM)

The St Barbara share price is down 15% to 50.2 cents. This morning, this gold miner revealed that it has received firm commitments for an institutional placement to raise a total of $58 million before costs. These funds are being raised at a 22% discount of 46 cents per new share. Management notes that the placement was overbid, with significant demand from leading Australian and international institutional investors. It also received strong support from existing institutional shareholders. St Barbara's managing director and CEO, Andrew Strelein, said: "The placement allows us to progress the change out of the truck fleet at Simberi to improve efficiency and reliability, as well as finalising the Feasibility Study and advancing Pre-Expansion Growth Capital items. The new funds will also enable us to complete the Pre-Feasibility Study on the 15-Mile Processing Hub at Nova Scotia, which is due in the March quarter of 2026, and progress plans for the potential re-opening of Touquoy for stockpile processing."

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. 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 Scott Phillips.

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