(Alliance News) - Metal Tiger PLC on Friday noted that Cobre Pty Ltd will raise AUD10.0 million, around GBP5.2 million, through an initial public offering on the Australian Stock Exchange at the end of January.
Cobre is an Australia-focused mineral explorer, which holds an 80% stake in Toucan Gold Pty Ltd, the owner of a group of tenements known as the Perrinvale project in Australia.
Metal Tiger has subscribed for a total of AUD2.4 million as part of the IPO fundraise, and will hold a 20% stake in Cobre on listing.
The total value of Metal Tiger's 19.4 million shares in Cobre at the IPO price of 20 cents comes up to AUD3.9 million. So far, Metal Tiger has invested AUD2.9 million into Cobre, meaning that it will make an unrealised paper profit of AUD1.0 million.
"We are delighted that Cobre will be listed on the ASX at the end of next week. Metal Tiger has been a key part of this heavily oversubscribed IPO. We made our initial investment in September 2019 and consider it a testament to the team at Cobre and their assets that they will have achieved a listing on the ASX only five months after Metal Tiger’s initial investment," said Chief Executive Officer Michael McNeilly.
"I anticipate that Cobre will commence its drilling and exploration programme at the Perrinvale project on or around the listing date and look forward to seeing the continued progress," McNeilly added.
Shares in London-based Metal Tiger were down 0.4% at 1.31 pence on Friday in London.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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