Business
Placing & Subscription to Raise £630,000
Placing & Subscription to Raise £630,000.
About this update from Chesterfield Resources Plc
[{"type":"text","content":"\n \n \n RNS Number : 1374U\n Chesterfield Resources PLC\n 27 July 2020\n \n \n \n \n Chesterfield Resources / EPIC: CHF / Market: LSE / Sector: Mining\n \n \n \n \n \n 27 July 2020\n \n \n Chesterfield Resources Plc \n \n \n Placing & Subscription to Raise\n \n £630,000, appointment of broker, issuance of warrants and share options\n \n \n \n \n \n Chesterfield Resources Plc\n \n is pleased to announce that it has raised\n \n £630,000\n \n by way of a conditional placing and subscription of 12,000,000 new ordinary shares at a par value of 0.1p in the capital of the Company, with new and existing shareholders, at a price of\n \n 5.25 pence\n \n per placing share, a 23% discount to the 5-day volume weighted average share price of 6.85 pence. \n \n \n \n \n \n The net proceeds of the placing will primarily be used to fund the Company's drill programmes in Cyprus, analysis and follow-up exploration work. \n \n \n \n \n \n Martin French, Executive Chairman, said\n : \"Early results of our percussion drilling look very promising and we have now decided to expand this programme. With this additional funding we can now also look forward to a comprehensive diamond drill programme this year. The percussion drill and diamond drill programmes are integrated in that the percussion drill is used to locate the deposits and the diamond drill then tests them for grade and more accurately defines intercept width. This top-up share placing dilutes the capital base by just 20% and, as such, we are hopeful that it will quickly be value-accretive for shareholders if the drilling proves successful. We have also issued some incentive options at the same price as the placement. \n The team has been working hard and this is an opportune time to incentivise them to further build shareholder value. These options are equivalent to 2.6% of the company. \n We also welcome Fox Davies Capital as our new broker, which has helped bring many new and note-worthy names to the company's share register of longer-term investors via this placing. \n I look forward to providing further updates to shareholders in due course.\"\n \n \n \n \n \n Application for Admission\n \n \n The placing is subject to the satisfaction of standard conditions contained in a placing agreement with Fox-Davies ...