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.
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Issue: | Shares
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Amount: | About A$11.2 million
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Shares: | About 320 million
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Price: | A$0.035
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Warrants: | No
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Agent: | Southern Cross Equities
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Announcement date: | Dec. 13
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Stock symbol: | Australia: AYN
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Stock price: | A$0.042 at close Dec. 13
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Market capitalization: | A$33.97 million
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Tranche 1
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Amount: | About A$4.1 million
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Shares: | About 118 million
|
|
Tranche 2
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Amount: | About A$7.1 million
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Shares: | About 202 million
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