(Alliance News) - Horizonte Minerals PLC on Friday announced it raised around GBP18 million via the placing of 162.7 million shares.
Horizonte shares fell 7.8% at 8.52 pence each in London on Friday morning.
The Brazil-focused nickel development firm on Thursday proposed the fundraise at a price of 7.5 pence per placing share.
The fundraise comprised of a placing to new and existing institutional investors and a concurrent underwritten bought deal private placement to be led by Paradigm Capital Inc.
The proceeds will be used to initiate specific early works and advance long-lead time items linked to the start of construction of the company's Araguaia ferro-nickel project in Brazil, as well as for general working capital purposes, the company said.
Chief Executive Jeremy Martin said Friday: "The financing completed today provides Horizonte with a strong balance sheet as we enter this next phase of the company's evolution as we advance Araguaia through to start of construction. This funding allows us to fast track critical path workstreams, advance long lead items and continue to build our team."
By Greg Roxburgh; gregroxburgh@alliancenews.com
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Horizonte Minerals (HZM)