4 Nov 2008 11:39
Landore Resources Limited
("Landore" or the "Company")
Issue of Equity
Landore, the Canadian mining explorer, today announces that it has raised approximately £3.1 million through a placing of 31,100,000 new ordinary shares of 1p each in the Company ("Placing Shares") at a placing price of 10p per share (the "Placing") The proceeds from the Placing will be used to finance working capital and continuing exploration expenditure.
The Placing Shares will be subscribed for by a Director of the Company and other investors. Directors' discloseable interests are as set out below. The Placing is conditional on admission of the Placing Shares to trading on AIM.
The Director will subscribe for Placing Shares as follows:
| Director | Placing Shares Subscribed | Shareholding immediately following Admission | Percentage of enlarged issued share capital |
| William Humphries | 500,000 | 14,450,000 | 8.00 |
The Placing Shares will represent 17.16% of the then enlarged issued share capital of the Company. The number of ordinary shares of 1p each in the Company ("Ordinary Shares") in issue following admission of the Placing Shares and the total number of voting rights will be 180,599,323. Application will be made for the admission of the Placing Shares to trading on AIM. The Placing Shares will rank pari passu with existing Ordinary Shares and it is expected that admission will occur at 8.00 a.m. on 10 November 2008.
The participation of a Director in the Placing is deemed to be a related party transaction under the AIM Rules. The independent Directors consider, having consulted with Strand Partners Limited, the Company's nominated adviser, that such participation in the Placing is fair and reasonable insofar as the Company's shareholders are concerned.
As part of the Placing the Company will issue a warrant over 3,000,000 ordinary shares at an exercise price of 15p per share over a period of 3 years from the date of their grant.
Enquiries:
Bill Humphries / Richard Prickett
Landore Resources Limited
Tel: 07734 681262
Tel: 07775 651421
Simon Raggett / Angela Peace
Strand Partners Limited
Tel: 020 7409 3494
David Bick
Tel: 07831 381201
Landore (LND)