(Alliance News) - IronRidge Resources Ltd said Thursday it has raised GBP2.0 million through a subscription and placing of 20.0 million shares.
The new shares, priced at 10 pence, will start trading on AIM next Wednesday. Shares in IronRidge Resources closed down 5.6% in London on Thursday at 10.97 pence each.
The company said the proceeds will go towards funding the development of its gold and lithium projects in Côte d'Ivoire, Ghana and Chad in Africa.
As part of the transaction, Chief Executive Vincent Mascolo, "substantial" shareholder DGR Global Ltd and Non-Executive Chair Neil Herbert subscribed for a total of 12.6 million shares. The remaining 7.4 million shares were placed with "a number of places".
Mascolo said: "We would like to thank our existing shareholders for their continued support and would like to welcome our new shareholders to the register. In addition, the significant participation of the board and DGR Global in the fundraise confirms our confidence in the future of the business as we advance our exploration portfolio and transition from explorer to developer in the near future."
SI Capital arranged the placing and has been appointed sole broker for the company with immediate effect.
"We have made considerable progress over the course of 2019, having focused on enhancing the company's asset base and we remain on track to deliver on multiple milestones," continued Mascolo.
He added: "Operating on all fronts, we remain on track to commence drilling of multiple targets across our suite of gold projects in Cote d'Ivoire in the near term, and the delivery of a maiden mineral resource estimate for our Cape Coast Lithium project in Ghana in the first quarter of 2020.
"We look forward to continuing to develop our portfolio pipeline in these jurisdictions and look forward to providing updates on progress in the near future."
By Paul McGowan; paulmcgowan@alliancenews.com
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