(Alliance News) - Palm oil firm DekelOil PLC on Tuesday said it has successfully raised over GBP2 million, as it looks to upscale operations.
On Monday, DekelOil said it would be raising funds alongside a new EUR7.2 million loan, from investor AgDevCo Ltd.
DekelOil has confirmed it placed 25.8 million new shares at 3.0 pence each, raising GBP770,000, while it has also raised GBP1.4 million via a subscription for 43.9 million shares by AgDevCo and DekelOil's Chief Executive Youval Rasin and Executive Director Lincoln Moore.
Shares were 3.3% higher on Tuesday afternoon in London at 3.15p apiece.
Moore commented: "The AgDevCo subscription at a 9% premium to the last closing market price before announcement of the fundraising is in our view, an endorsement of both the strategy we have put in place to build a multi-project, multi-commodity agriculture company and also our ability to deliver.
"With one vertically integrated palm oil operation already in production and a large-scale cashew processing project due to be commissioned in 2020, the funds raised will support the board's ongoing evaluation of a number of initiatives to further grow and diversify DekelOil's revenue profile and in the process build a leading West African focused agriculture company."
Dekel Agri (DKL)