15th Jan 2015 17:59
LONDON (Alliance News) - Rare Earth Minerals PLC said Thursday that it has raised GBP2.5 million through a share placing of 312.5 million at a price of 0.8 pence per share, to supplement its existing cash balances.
Shares in Rare Earth Minerals closed up 1.4% at 0.928 pence Thursday. The shares were placed with a single UK institutional investor, it said.
The company said it will use the funds to further its investment in, and development of, its existing portfolio, particularly its joint venture assets in the Sonora Lithium project in Mexico, for potential investments in new projects and for general corporate purposes.
The placing was conducted via an accelerated book-building process, with WH Ireland Ltd acting as sole broker.
Rare Earth Minerals said that it had seen demand in excess of GBP2.5 million in the placing, however, it declined over-subscriptions.
"The company now has a stronger balance sheet going forward and plans to seek ways of increasing our exposure to these significant resource plays," said Chairman David Lenigas in a statement.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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