Altona Rare Earths PLC - London-headquartered mining exploration company focused on projects in Africa - Conditionally raises GBP1.1 million through a placing of 13.8 million shares at 8.0 pence each. The placing is conditional on the company's admission to the Official List of the London Stock Exchange's main market. This is expected by the end of September.
Funds will be used to complete a maiden resource estimate at the Monte Muambe Rare Earths mining project in Mozambique. Estimate expected in the first quarter of 2023. Expects to complete a preliminary economic and assessment and scoping study at Monte Muambe in the second quarter of 2023.
Altona adds, assuming the placing is concluded, it will issue warrants to incoming investors on a one-for-one basis, exercisable at 12p per share. The company will also issue a 'piggyback' option at 18p per share, with a three-year life from admission, which will be issued to investors who exercise their 12p warrant within the 'trigger' period. Trigger period is within 30 days of the company's share price trading above 12p for 10 days.
Current stock price: 7.75 pence
12-month change: down 40%
By Heather Rydings; heatherrydings@alliancenews.com
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