Magnetic Resources NL (ASX: MAU) has announced the successful completion of its A$12M single tranche placement to sophisticated, professional, and institutional investors.
The placement was sized due to significant demand with the increased quantum still heavily oversubscribed. The placement comprises approximately 13.3M new fully paid ordinary shares to be issued at A$0.90 per share.
Ord Minnett Limited and Argonaut Securities Pty Limited acted as joint lead managers to the placement.
Managing director, George Sakalidis, commented, “It is an exciting time in the journey of the company, and on behalf of the Magnetic board, I would like to thank our existing shareholders for their ongoing support and welcome new shareholders as we continue to develop the highly promising Lady Julie Gold Project. I’d also like to acknowledge the lead managers for ensuring a successful outcome to this offer.”
Under the placement, the company will issue 13.3M new fully paid ordinary shares at an issue price of $A0.90 per share, which represents a 10.9% discount to the last-close on 12 March 2024 (A$1.01 per share), and a 15.6% discount to the five-day VWAP (A$1.07 per share).
The funding will be used for the purposes of deeper drilling for resource expansion at LJGP, exploration drilling along the Chatterbox Shear, and ongoing feasibility work and general working capital.
To find out more, please visit www.magres.com.au
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