(Alliance News) - Australian gold miner Resolute Mining Ltd on Thursday said it has completed the institutional share placement, raising AUD146 million, around GBP76.13 million.
The institutional placement is a part of the company's wider equity raising of up to AUD196 million, which also comprises of AUD25 million share issue to Resolute's directors and largest investor ICM Limited Group and a further AUD25 million share issue pursuant to a share purchase plan.
The completed institutional placement will result in the issue of 132.7 million new Resolute shares at AUD1.10 per share, a 6.4% discount to the company's closing price in Sydney on Monday of AUD1.175.
Resolute shares closed at AUD1.20 on Thursday in Sydney. Shares in London closed at 62.71 pence each, up 2.6%.
The funds raised will be used to repay a USD130 million bridge facility provided by Taurus Funds Management Pty Ltd, which is due for repayment at the end of January. This funding was used to purchase Toro Gold Ltd, which included the Mako gold mine in Senegal.
By Tapan Panchal; tapanpanchal@alliancenews.com
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Resolute Mining (RSG)