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SRG Mining Completes Strategic Equity Investment of C$13 Million from La Mancha
SRG Positioned to Accelerate Development of Lola Graphite Project Montreal, Quebec – TheNewswire - March 31, 2022 - SRG Mining Inc. (TSXV:SRG) (“SRG” or the “Co
About this update from Falcon Energy Materials Plc
[{"type":"text","content":"SRG Positioned to Accelerate Development of Lola Graphite Project Montreal, Quebec – TheNewswire - March 31, 2022 - SRG Mining Inc. (TSXV:SRG) (“SRG” or the “Company”) announced today that La Mancha Fund SCSp (the “Fund”), a fund advised by La Mancha Capital Advisory LLP (“La Mancha”), has completed a non-brokered private placement in SRG, previously announced on March 16, 2022 (“Private Placement”). SRG has issued 22,442,941 common shares (the “Shares”) to a subsidiary of the Fund at a price of C$0.56 per share, yielding proceeds to SRG of C$12,568,047 (approximately US$10 million). Upon completion of the Private Placement, the Fund now owns 19.9% of SRG’s issued and outstanding common shares, establishing it as one of SRG’s largest shareholders. The Shares issued pursuant to the Private Placement will be subject to a hold period expiring four months and one day from the date of issue. The Private Placement is an important first step by SRG and La Mancha to accelerate development of the Lola Graphite Project and downstream processing strategy to develop a fully integrated mine-to-market solution to supply active anode material to the European lithium-ion and fuel cell markets. SRG now has cash and cash equivalents of approximately C$17 million (US$13 million) and no significant debt. SRG will work closely with La Mancha, during the development phase of the project, to ensure the Fund’s continued participation in subsequent financings to advance SRG towards production. “The investment completed today comfortably provides SRG with the funds required to rapidly advance the Lola Graphite Project and our downstream, second transformation strategy in Europe,” said Benoit La Salle, Chairman of the Board and Matthieu Bos, Chief Executive Officer. Closing of the Private Placement remains subject to customary regulatory conditions namely final approval of the TSX Venture Exchange. About the Fund and La Mancha The Fund is a Luxembourg-based deep value fund focused on investments in the precious metals and energy transition space. La Mancha advises the Fund on strategic investments made in publicly listed and private exploration, royalty and mining companies with a global outlook. La Mancha is a long-term minded investor, with a mandate to support mining companies to achieve sustained growth by providing long-term equity capita...