TIDMSEFA
RNS Number : 8481Y
Shefa Yamim (A.T.M.) Ltd
13 May 2019
B"H
13 May 2019
Shefa Yamim (A.T.M.) Ltd
("Shefa Yamim", "Shefa Gems" or the "Company")
Institutional and HNW Equity Placing and Subscription for
GBP1.0M
Shefa Yamim (LON: SEFA), a company focused on advanced
exploration and development of multi-gemstone projects in Northern
Israel, is pleased to announce that it has raised GBP1.0 million
(before expenses) from new shareholders through a subscription and
placing of 25,000,000 new ordinary shares of 0.10 NIS each in the
Company ("Subscription and Placing Shares") at an issue price of 4
pence per share (the "Placing").
Pursuant to the Placing, the Company will issue to the holders
of the Subscription and Placing Shares one warrant to subscribe for
one new Ordinary Share for every Subscription and Placing Share
subscribed for by them with an exercise price of 8p (the
"Warrants"), exercisable for a period of twenty-four months from
the date of the admission to trading ("Admission") of the
Subscription Shares. The Placing is conditional only on
Admission.
The new Shareholders include a mixture of specialist
institutional investors and sophisticated High Net Worth ("HNW")
investors who are attracted to the potential risk/returns from
advanced to development stages of the natural resource and mining
projects.
Shefa Yamim Founder and CEO, Avi Taub, stated: "We are pleased
to welcome our new shareholders on to our share register. The level
of demand from specialist institutional investors and HNW investors
is a strong endorsement of the Kishon Mid-Reach Zone 1 project at a
vital stage of its development. The funds will enable us to unlock
the true potential of this globally unique multi-gemstone
opportunity, and rapidly develop our low-cost mining operations in
the Kishon Mid-Reach Zone 1 region.
"In addition, the funds will also support our unique "Mine to
Market" strategy to promote our suite of precious gems to markets
worldwide, and ultimately contribute in achieving the associated
enhanced economic returns for stakeholders."
The net proceeds of the Subscription will be used by Shefa Yamim
for continued operations in Akko in the processing facility to
advance the project to mining via the completion of a mine
planning, engineering and environmental report for mining license
submission to the Ministry of Energy Natural Resources
Administration Israel for Kishon Mid-Reach Zone 1. The processing
facility is currently capable of processing up to 50 tph and on
issuance of the mining license is expected to commence commercial
operations in early 2020.
In addition to the Kishon Mid-Reach Zone 1 mine development for
which the Company is expecting to receive mine permitting by the
end of Q4 2019, bulk sampling campaigns for Zone 2 will be carried
out in H2 2019. This will be in conjunction with further resource
delineation and bulk sampling campaigns in Kishon Mid-Reach Zone 3
through the remainder of 2019. These programs all have the
potential to add significant mine life and value to the unique
'near-to' commercial discovery and mining opportunity within Kishon
MR Zone 1.
Shefa Yamim is continuing to develop its "Mine to Market"
strategy for its downstream activities to ensure the unique geology
in the Kishon region unlocks the premium value of these
multi-gemstone projects for the benefit of shareholders. These
funds are expected to see the Company through the final stages of
permitting in Kishon Mid-Reach Zone 1 and the subsequent
commencement of commercial operations and associated cashflows by
Q1 2020.
Use of Funds:
-- Kishon Mid-Reach (Alluvial) - Zone 1: Planning for mining licensing costs - engineers and architects
-- Kishon Mid-Reach (Alluvial) - Zone 2: 3 - 4 bulk sampling
-- Kishon Mid-Reach (Alluvial) - Zone 3: 120 drilling + 3 bulk sampling (not finalised)
-- All Company Administration, Management, Head Offices and working capital
-- Cost of the project ongoing operations site Akko *(Including payment for renewed prospecting exploration)
-- Establishment, development and implementation of the mine to market strategy - branding and designing collections
The Management team is committed to provide quarterly updates on
the progress of the upstream, associated downstream and mine to
market activities.
On 11 April 2019, the Company announced its intention to change
the English name of the Company to Shefa Gems Ltd. The proposed
change is a reflection of the Company's "Mine to Market" strategy.
By renaming itself as Shefa Gems, it will enable the Company to
build a global brand by leveraging the positive brand-value
associated with the rare gemstones amongst the suite of precious
stones found in the Kishon Mid-Reach area.
To date cUS$36 million has been invested into the Kishon project
area in capital and operational expenditure, which has developed
the project to the 'mine ready stage'. Upon approval of submissions
and granting of the mining license, no further significant capital
expenditure is required for the start-up of the low-cost Kishon
Mid-Reach Zone 1 mine with the base processing capacity of up to 50
tph operation.
Total Voting Rights
The Placing Shares, which represent 14.9 per cent. of the
Company's enlarged issued share capital, will be issued credited as
fully paid and rank pari-passu in all respects with the existing
Ordinary Shares. Application has been made for 25,000,000
Subscription/Placing Shares to be admitted to trading on the
Standard List segment of the main market of the London Stock
Exchange ("Admission"). It is expected that Admission will become
effective and that dealings in the Placing Shares will commence at
8.00am on 20 May 2019.
Following the issue of the Placing Shares, the total issued
share capital of the Company will consist of 167,360,000 Ordinary
Shares. Therefore, the total number of voting rights in the Company
will be 167,360,000 and this figure 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 in their interest, in the share capital of the
Company.
- Ends -
Enquiries
Shefa Yamim (A.T. M.) Ltd
Michael Rosenberg, OBE - Chairman
www.shefayamim.com +44 20 7938 4026
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VSA Capital Limited - Financial Adviser
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Andrew Raca +44 20 3005 5000
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SI Capital Limited - Broker and Strategic
Adviser
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+44 20 3871 4038 / +44
Nick Emerson and Jon Levinson 1483 413500
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Luther Pendragon
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Harry Chathli, Alexis Gore, Rachel
So +44 20 7618 9100
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Notes to Editors
About Shefa Yamim (A.T.M.)
Shefa Yamim (LSE: SEFA) is a multi-commodity explorer of
precious stones operating in Northern Israel. Exploration activity
is managed by professionally skilled and technically competent
personnel and is accompanied by an international team of geological
experts with decades of proven experience in their fields.
All exploration activities are conducted under international
standards and the internationally recognised SAMREC 2016 Code.
Furthermore, its permits, granted to it by the Commissioner of
Mines, extend over an area of approximately 600,000 Dunam (60,000
hectares) that includes the Kishon River, the volcanic bodies on
Mount Carmel, the Zevulun and Yizre'el valleys and their margins -
Menashe Hills, Tivon-Alonim Hills, and Nazareth range. The Company
upholds environmental values and protects the nature in the areas
where it operates, cooperating fully with all authorities.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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