Last checked at 19 Oct 2017 07:00
LANDORE RESOURCES LIMITED
("Landore Resources" or "the Company")
(AIM Ticker: LND.L)
Landore Resources raises £1 million
London, United Kingdom - October 19 2017 - Landore Resources Limited (AIM:LND) ("Landore Resources" or "the Company") is pleased to announce it has raised gross proceeds of £1 million through a subscription of 50,000,000 new ordinary shares of no par value in the Company (the "Subscription Shares") at a price of 2.0 pence per Subscription Share (the "Issue Price") (the "Subscription").
The net proceeds of the Subscription will be used by the Company to finance working capital and exploration expenditure.
Changes in Directors' disclosable interests pursuant to the Subscription are as set out below.
Director | Subscription Shares subscribed | Shareholding immediately following Admission | Percentage of enlarged issued share capital |
William Humphries | 1,750,000 | 70,644,119 | 8.5% |
Richard Prickett | 1,250,000 | 13,394,876 | 1.6% |
Helen Green | 500,000 | 2,857,583 | 0.3% |
In addition, 375,000 new ordinary shares of no par value in the Company have been issued to an adviser at the Issue Price in lieu of cash fees (the "Fee Shares").
The Subscription Shares and the Fee Shares (together, the "New Ordinary Shares") represent approximately 6.0 per cent. of the enlarged issued share capital (as enlarged by the New Ordinary Shares). The Issue Price represents a premium of approximately 3.9 per cent. to the closing middle market price of 1.93 pence per ordinary share on 18 October 2017, being the last trading day prior to this announcement.
Further details on the Subscription
The Subscription is conditional on admission of the New Ordinary Shares to trading on AIM ("Admission"). The New Ordinary Shares will be fully paid and will rank pari passu in all respects with the Company's existing ordinary shares of no par value ("Ordinary Shares"). Application will be made to the London Stock Exchange for Admission. It is expected that Admission of the New Ordinary Shares will become effective and that dealings in such New Ordinary Shares will commence at 8.00 a.m. on 26 October 2017. Following Admission of the New Ordinary Shares, the Company's issued share capital will consist of 835,915,779 Ordinary Shares with voting rights. Landore Resources does not hold any Ordinary Shares in treasury.
The aforementioned figure of 835,915,779 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, Landore Resources under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.
Related Party Transactions
As Directors of the Company, the participation of William Humphries, Richard Prickett and Helen Green in the Subscription (the "Director Subscription") is deemed to be a related party transaction pursuant to Rule 13 of the AIM Rules for Companies.
In addition, Arconas International Limited and Taheh International Holdings, which currently have interests in the Company of 13.6 per cent. and 13.3 per cent respectively, have subscribed for 4,500,000 Subscription Shares and 12,500,000 Subscription Shares respectively pursuant to the Subscription (the "Shareholder Subscription"), which, as Substantial Shareholders in the Company, are also deemed to be related party transactions pursuant to Rule 13 of the AIM Rules for Companies.
Charles Wilkinson, Independent Director, having consulted with the Company's Nominated Adviser, Strand Hanson Limited, considers that the terms of the Director Subscription and the Shareholder Subscription are fair and reasonable insofar as the Company's shareholders are concerned.
- ENDS -
About Landore Resources
Landore Resources is an exploration company that seeks to grow shareholder value through the acquisition, exploration and development of precious and base metal projects in eastern Canada. The Company is primarily focused on the development of the Junior Lake Project. Landore Resources has mineral rights to 5 properties in eastern Canada. The Company is headquartered in Guernsey, with an exploration office located in Thunder Bay, Ontario, Canada.
For more information, please contact:
Bill Humphries, Chief Executive Officer Tel: 07734 681262
Richard Prickett, Finance Director Tel: 07775 651421
Landore Resources Limited www.landore.com
Angela Hallett / James Spinney / Jack Botros Tel: 020 7409 3494
Strand Hanson Limited
Nominated Advisor and Broker
This announcement contains inside information as defined in Article 7 of the Market Abuse Regulation No 596/2014.