Bezant Resources PLC Equity fundraising of approximately £700,000 gross (7462S)
05 October 2017 - 5:00PM
UK Regulatory
TIDMBZT
RNS Number : 7462S
Bezant Resources PLC
05 October 2017
5 October 2017
Bezant Resources Plc
("Bezant" or the "Company")
Equity fundraising of approximately GBP700,000 gross
Bezant (AIM: BZT), the AIM quoted gold and platinum development
company, announces that it has raised, in aggregate, GBP700,000
(approximately US$920,000) before expenses, through a conditional
placement, via Beaufort Securities Limited ("Beaufort Securities"),
of 63,636,360 new ordinary shares of 0.2 pence each in the capital
of the Company (the "Placing Shares") (the "Placing") at a price of
1.1 pence per new ordinary share (the "Placing Price").
Highlights:
-- Issue of 63,636,360 Placing Shares at the Placing Price of 1.1 pence per new ordinary share.
-- Placing provides additional working capital to be applied
towards the commencement of production from the higher-grade
gravels at the Company's wholly owned Choco Project in Colombia
(the "Choco Project") following commissioning of the first plant,
as announced on 26 June 2017, and recent completion of the open pit
and its infrastructure further to the Company's announcement on 19
September 2017.
Edward Nealon, Chairman of Bezant, commented:
"Today's fundraising will further support the Company as we now
start production from the deeper level gravels containing higher
grades of platinum and gold. We have been directing all available
funds into the Choco Project operation, and therefore we decided to
conduct the Placing to provide the group with additional working
capital including for mine and project development as well as the
second option exercise payment due in respect of the Choco Project
licences covering more than 2,500ha in aggregate.
"I look forward to announcing the initial results of production
from the deeper level gravel within the coming weeks."
Further Details:
The Placing Price represents a discount of approximately 21 per
cent. to the closing mid-market price of 1.40 pence per ordinary
share on 4 October 2017 (being the latest practicable business day
prior to the date of this announcement).
The Placing is conditional on admission of the Placing Shares to
trading on AIM ("Admission"). Following Admission, the Placing
Shares will represent, in aggregate, approximately 13.4 per cent.
of the Company's enlarged issued ordinary share capital.
Beaufort Securities will receive commission from the Company and
a warrant over 6,363,636 ordinary shares exercisable at a price of
1.1 pence per share expiring five years from, and conditional on,
Admission.
Use of Funds
The net proceeds raised from the Placing will primarily be
applied to:
-- Achieving production ramp-up from the higher-grade gravels at
the Choco Project and associated project costs
-- Making the second and final payment due in relation to the
exercise of its option over FKJ-083 and HCA-082 as announced in
April 2017
-- General working capital for the Group
Application to trading on AIM
Application will be made to the London Stock Exchange for the
Placing Shares to be admitted to trading on AIM. It is expected
that Admission will become effective and that dealings in the
Placing Shares will commence at 8.00 a.m. on 12 October 2017.
Following the issue of the abovementioned Placing Shares, the
Company's total issued share capital will consist of 474,773,038
ordinary shares with voting rights. The Company does not hold any
ordinary shares in treasury and accordingly there are no voting
rights in respect of any treasury shares. The Placing Shares will
be fully paid and will rank pari passu in all respects with the
Company's existing ordinary shares.
On Admission, the above figure of 474,773,038 ordinary shares
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 to their interest in,
Bezant under the Financial Conduct Authority's Disclosure and
Transparency Rules.
For further information, please contact:
Bezant Resources Plc
Bernard Olivier Tel: +61 40 894 8182
Chief Executive Officer
Laurence Read Tel: +44 (0)20 3289
Executive Director / Communications 9923
Officer
Strand Hanson Limited (Nomad) Tel: +44 (0)20 7409
James Harris / Matthew Chandler 3494
/ James Dance
Beaufort Securities Limited (Broker) Tel: +44 (0)20 7382
Elliot Hance 8300
Peterhouse Corporate Finance
Lucy Williams/ Duncan Vasey/ Tel: +44 (0)20 7469
Heena Karani 0930
or visit http://www.bezantresources.com
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014.
- ENDS -
This information is provided by RNS
The company news service from the London Stock Exchange
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