4th Jun 2020 18:48
(Alliance News) - SolGold on Thursday said it intends to raise new funds to help cover the costs of the gold discovery firm's exploration programmes.
The company plans to raise minimum gross proceeds of GBP16 million, around USD20 million, by issuing shares at 21.5 pence per share. The fundraising comprises an accelerated bookbuild placing of a minimum of 74.4 million new ordinary shares and a proposed conditional subscription by management.
The stock closed up 1.9% at 24.00 pence on Thursday, a 10% discount to the placing price.
In addition, the company said there will be an offer of up to EUR8 million, around USD9.1 million, for retail and other investors to participate at the same placing price via PrimaryBid platform.
Chief Executive Nick Mather said: "The proposed USD20 million capital raising will see, with completion of the FNV royalty, SolGold fully funded through its PFS and to the delivery of a definitive feasibility study and all related permits. This funding will also cover the costs of SolGold's important regional exploration programmes and the ancillary costs of generating the USD2.7 billion capital development funding package for the Alpala Project."
By Arvind Bhunjun; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
SolGold