9th Aug 2019 11:28
(Alliance News) - Alexander Mining PLC said Friday its has raised GBP475,000 in a placing, the proceeds of which will go towards working capital and business development purposes.
Alexander Mining placed 2.38 billion shares at a price of 0.02 pence per share, a 52% discount from its closing price on Thursday of 0.042p.
Shares in the mining and minerals company were 13% lower at 0.037 pence on Friday in London, giving it a market capitalisation of GBP738,490.
The placing was conducted through Alexander's sole broker and placing agent Turner Pope Investments Ltd.
As part of commission arrangements, Alexander will issue 118.8 million shares to Turner Pope, and a warrant to subscribe for 178.1 million shares, exercisable at a price of 0.025p per share.
In addition, Alexander Mining has appointed Nigel Burton as non-executive director, subject to due diligence checks.
Burton is currently chair of Regency Mines PLC, and holds the same position at Remote Monitored Systems PLC. His most recent executive role was as chief executive officer at Nu-Oil & Gas PLC, for four years from 2015 to 2019.
"We are delighted to have secured this investment from new and existing shareholders to give the company the flexibility for a potential beneficial corporate opportunity and to provide additional working capital. Also, we are delighted about the proposed board appointment of Nigel Burton and the extensive experience that he will bring to the company," said Chief Executive Officer Martin Rosser.
Following the placing, Alexander Mining has 4.38 billion shares issued overall.