Ovoca Bio Regulatory News (OVB)

19 Nov 2007 07:02

Ovoca Gold PLC19 November 2007 Ovoca Gold PLC ("Ovoca" or the "Company") £4.5 million Placing Ovoca Gold Plc (AIM: OVG; IEX: OVX)("Ovoca" or the "Company") is pleased toannounce that it has agreed the terms of a conditional placing of 48,800,000 newordinary shares of €0.025 each ("Ordinary Share") with warrants at a price of9.25p (€0.14) per Ordinary Share (the 'Placing Shares'), raising gross proceedsof approximately £4.5 million ('the Placing'). The Placing price was at a 2.76%discount to the average mid closing market price on the AIM Market of the LondonStock Exchange of 9.51p per Ordinary share for the ten trading days prior to 16November 2007. The Company has issued to the subscribers of the Placing Shares(on the basis of 1 warrant for every 2 Ordinary Shares subscribed) an aggregateof 24,400,000 warrants to subscribe for new Ordinary Shares in the Company at anexercise price of 11p, exercisable at any time up to 15 November 2008. Thewarrants, which are transferable, will not be quoted on any market. The net proceeds of the Placing are to be used on the evaluation and developmentof the silver deposit Goltsovoye, located in the Magadan Oblast of north-eastRussia, in addition to advancing the Company's exploration projects in the KolaPeninsula, repaying all outstanding loans and for working capital purposes. A certain director of Ovoca will subscribe for the following Placing Shares: Placing Shares Resultant holding % of Enlarged subscribed for: of Ordinary Shares: Share Capital: Salyco Trading Company Ltd* 10,600,00 72,287,718 17.0997% Warrants received Resultant holding pursuant to the of Warrants: Placing: Salyco Trading Company Ltd* 5,300,000 11,386,957 *Salyco Trading Company is controlled by Mikhail Mogutov Application will be made to the Irish Stock Exchange and the London StockExchange for the placing shares to be admitted to trading on IEX and AIMrespectively Admission is expected to occur by 23 November 2007. Ovoca Resources Plc is an international exploration company with dual listing in London (OVG.L) and Ireland (OVX.IR), exploring for Precious and base metals in Russia. For further information please visit www.ovocagold.com or contact: Leonid Skoptsov - Ovoca Gold Plc Nick Bias / Alex Buck - Buck Bias (UK PR)Tel + 7 (0)495 648 2646 Tel: +44 (0)7887 920 530 / +44 (0)7932 740 452Email: leonid.skoptsov@ovocagold.com Email: nick@buckbias.com / alex@buckbias.com John Frain - Davy John O'Connor - Ovoca Gold PlcTel : +353 (0)1 679 6363 Tel: +353 (0)1 633 0523Email: john.frain@davy.ie Email: john.oconnor@ovocagold.com This information is provided by RNS The company news service from the London Stock Exchange