Funds used at Marampa Project; J.P. Morgan, Liberum were bookrunners
By Devika Patel
Knoxville, Tenn., Jan. 27 - London Mining plc said it completed a £57.85 million private placement of shares on Thursday. The deal was announced on Jan. 24 and involved 22,685,000 ordinary shares at 255p per share.
Of the shares, 11,199,214 were sold in a firm placing, and the remaining 11,485,786 shares will be sold on a conditional basis after shareholder approval is secured at a Feb. 13 meeting. The price per share represents an 11.34% discount to the Jan. 25 closing share price of 287.61.
J.P. Morgan Cazenove and Liberum Capital Ltd. were the joint bookrunners.
Proceeds will be used to accelerate production at the Marampa iron ore project in Sierra Leone.
"The equity issue announced today will enable London Mining to accelerate the growth of the Marampa Project in Sierra Leone, as well provide us with greater headroom to execute our long term strategy and withstand short term fluctuations in the iron ore price," chief executive officer Graeme Hossie said in a press release when the deal was announced.
"Marampa has already been significantly technically de-risked following the start of production of high quality sinter concentrate from the first plant and the full commissioning of the logistics required to supply the seaborne iron ore market."
London Mining is a London-based iron ore mining company.
| Issuer: | London Mining plc
|
| Issue: | Ordinary shares
|
| Amount: | £57,846,750
|
| Shares: | 22,685,000
|
| Price: | 255p
|
| Warrants: | No
|
| Bookrunners: | J.P. Morgan Cazenove and Liberum Capital Ltd.
|
| Announcement date: | Jan. 24
|
| Settlement date: | Jan. 26
|
| Stock symbol: | London: LOND
|
| Stock price: | 287.61 at close Jan. 25
|
| Market capitalization: | £327.02 million
|
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