4th May 2016 12:20
LONDON (Alliance News) - Conroy Gold & Natural Resources PLC on Wednesday said it has raised GBP1.0 million through a share placing, with fellow London-listed natural resources investor Metal Tiger PLC taking part in the transaction.
Conroy said it has issued 5.5 million shares at 18.5 pence per share, plus the same number of warrants, to raise the funds. Conroy shares were up 45% to 29.00p on the news, one of the best performers in the AIM All-Share.
The company intends using the funds to back developments on its primary gold assets, particularly the Clay Lake and Clontibret targets in Ireland.
Metal Tiger said in a separate statement on Wednesday it had spent GBP125,000 on acquiring 675,675 of the shares, plus an equal number of warrants exercisable at 37.00p.
If Conroy Gold shares trade over an average of 100.0 pence per share for over 10 days or more, then the warrants will either have to be exercised or cancelled, Metal Tiger said.
Metal Tiger holds a 6.1% stake in Conroy Gold following the transaction. Metal Tiger shares were down 1.0% to 4.75 pence per share Wednesday.
In addition to Metal Tiger, a series of company directors also took part in the placing. Chairman Richard Conroy bought 1.1 million shares, taking his total holding up to 2.4 million shares, or a 22% stake.
Managing Director Maureen Jones bought 135,135 shares, taking her holding to 194,104 shares, or 1.8% of the company, while Finance Director James Jones bought 108,108 shares, upping his holding to 120,608 shares or 1.1%.
Deputy Chairman Seamus Fitzpatrick bought 135,135 shares, taking his holding to 212,439 shares, or 1.9%, while Non-Executive Director Sorca Conroy bought 108,108 shares, taking her holding to 1.2%.
By Joshua Warner; [email protected]; @JoshAlliance. Updated by Sam Unsted; [email protected]; @SamUAtAlliance
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