A$16.6 million from placement, rights issue to be used at Twin Hills
By Marisa Wong
Madison, Wis., Dec. 13 - Alcyone Resources Ltd. announced that it will raise about A$11.2 million through a placement of shares to professional and sophisticated clients of Southern Cross Equities.
The company is selling about 320 million shares at A$0.035 each. The price per share represents a 25.53% discount to the Dec. 8 closing share price of A$0.047.
The placement will be completed in two tranches. The first tranche will consist of about 118 million shares for a total of A$4.1 million. The second tranche of about 202 million shares will raise A$7.1 million and will be subject to shareholder approval at a general meeting to be held in January.
The placement was oversubscribed and increases the total capital-raising for the company to about A$16.6 million following the completion of a non-renounceable rights issue on Nov. 25.
Alcyone said it initially sought to raise up to A$10 million, but after a strong response from investors it accepted an additional A$1.2 million in oversubscriptions.
Proceeds will be used to fund engineering and construction work associated with commercial silver extraction at the Twin Hills Project in Queensland.
Alcyone is a West Perth, Australia-based resource company focused on the reassessment and redevelopment of the Twin Hills Silver Mine near the town of Texas in southeast Queensland.
| Issuer: | Alcyone Resources Ltd.
|
| Issue: | Shares
|
| Amount: | About A$11.2 million
|
| Shares: | About 320 million
|
| Price: | A$0.035
|
| Warrants: | No
|
| Agent: | Southern Cross Equities
|
| Announcement date: | Dec. 13
|
| Stock symbol: | Australia: AYN
|
| Stock price: | A$0.042 at close Dec. 13
|
| Market capitalization: | A$33.97 million
|
|
|
| Tranche 1
|
| Amount: | About A$4.1 million
|
| Shares: | About 118 million
|
|
|
| Tranche 2
|
| Amount: | About A$7.1 million
|
| Shares: | About 202 million
|
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