Last checked at 29 Oct 2013 14:04
29 October 2013
Stellar Resources Plc
("Stellar Resources" or the "Company")
£2.25 million Placing and Notice of General Meeting
The Board of Stellar Resources announces a placing to raise £2.25 million before expenses at 0.4 pence per share ("the Placing"), consisting of a firm placing to raise £800,000 and a conditional placing to raise £1.45 million, subject to shareholder approval.
David Lenigas, the Company's Chairman, stated:
"The Company requires funding to grow and this £2.25 million will allow the board to pursue further investment opportunities in the resources sector under the Company's stated investment policy."
Placings
The Company has raised £800,000, before expenses, by way of a placing (the "Firm Placing") of 200 million new ordinary shares of 0.01 pence each (the "Firm Placing Shares") at 0.4 pence per share. The Firm Placing Shares have been unconditionally placed subject only to admission to trading on AIM (the "Firm Placing Admission"). Application has been made for the Firm Placing Admission and it is expected that dealings in the Firm Placing Shares will commence at 8.00 a.m. on 4 November 2013.
The Firm Placing Shares will represent approximately 68.4% of the Company's enlarged issued share capital, and the total number of shares in issue following completion of the Firm Placing will be 292,230,985.
In addition to the Firm Placing, the Company has raised a further £1.45 million, before expenses, by way of a placing (the "Conditional Placing") of 362.5 million new ordinary shares of 0.01 pence each (the "Conditional Placing Shares") at 0.4 pence per share. The Conditional Placing is subject to shareholder approval.
The Conditional Placing Shares, when issued, will represent approximately 55.4% of the Company's enlarged issued share capital, and the total number of shares in issue following completion of the Conditional Placing will be 654,730,985. Application will be made for the admission of the Conditional Placing Shares to trading on AIM and it is expected that dealings in the Conditional Placing Shares will commence at 8.00 a.m. on 15 November 2013.
The Firm Placing Shares and the Conditional Placing Shares will together represent approximately 85.9% of the Company's enlarged issued share capital.
In connection with the Placing, the Company will issue 24,075,000 warrants to Optiva Securities Limited at an exercise price of 0.4 pence which are exercisable at any time up to and including 14 November 2018.
General Meeting
A circular convening a general meeting of the Company to be held at Suite 3B, 38 Jermyn Street, London SW1Y 6DN on 14 November 2013 at 11.00 a.m. to grant the Directors the authority to allot the Conditional Placing Shares will be sent to shareholders today and will be available for download from the Company's website, www.stellar-resources.com.
Total Voting Rights
Following the Firm Placing Admission, the Company's total issued ordinary share capital will comprise of 292,230,985 ordinary shares. The Company holds 232 ordinary shares as treasury shares. Therefore, the total number of voting rights in the Company will be 292,230,753. This number 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 in their interest in, the share capital of the Company following the Firm Placing Admission.
For further enquiries, please contact:
Stellar Resources plc
David Lenigas
Donald Strang +44 (0) 20 7440 0640
Northland Capital Partners Limited (Nominated Adviser and Broker)
Luke Cairns
Edward Hutton +44 (0) 20 7796 8800