Business
Raise £6.3m Via Placing & Convertible Note
Raise £6.3m Via Placing & Convertible Note.
About this update from Metals Exploration Plc
[{"type":"text","content":"\n \n\n\n\n\n19 July 2007\n\n METALS EXPLORATION PLC\n\n RAISE £6.3M VIA PLACING AND CONVERTIBLE NOTE\n\n\nThe Board of Metals Exploration PLC (\"the Company\") (AIM: MTL), the\nUK based precious and base metals exploration company focused in the\nPacific Rim Region is pleased to announce that it has raised\n£6,305,000 (before expenses) by way of a £4,305,000 placing by the\nCompany of new ordinary shares (the \"Placing\") and £2,000,000\nConvertible Note Issue.\n\nFUND RAISING HIGHLIGHTS:\n* £6,305,000 gross proceeds raised\n* £4,305,000 raised through the placing of 10,762,500\n new ordinary shares (\"Placing Shares\") at a placing price of 40\n pence per ordinary share (\"Placing Price\"), representing a 4%\n discount to the closing mid-price on Wednesday, 18th July 2007 of\n 41.75 pence\n* £2,000,000 Convertible Note Issue with a coupon of\n 9% per annum and a conversion price of 52 pence per ordinary share,\n representing a 30% premium to the Placing Price\n\n\nFollowing the recent positive metallurgical testwork and infill\ndrilling results at the Company's flagship Runruno project in the\nPhilippines, the Company intends that proceeds from the fundraising\nwill be directed primarily towards continuing to add value to the\nRunruno project.\n\nThe injection of funds also gives the Company the flexibility to\npursue additional projects in the Pacific Rim Region. The Company is\ncurrently actively reviewing corporate opportunities with the\npotential to add value to the Company and/or provide near term\ncashflow. The Company will keep investors updated in the event that\nthese opportunities materialise.\n\nFunds will also be used to finance the general working capital\nrequirements of the Company.\n\n\nJonathan Beardsworth, CEO of Metals Exploration Plc commented:\n\n\"This fundraising gives the Company the flexibility it needs to\npursue its corporate objectives, and builds on the steady improvement\nin the share price so far this year. We are grateful for the support\nof existing shareholders, and pleased to welcome important new\ninvestors.\n\n\"Our previous announcement demonstrated that infill drilling at\nRunruno is proceeding well, and that we have received some extremely\nencouraging metallurgical test results showing 94.7% overall gold\nrecovery from a composite sample of primary sulphide mineralization\nsubjected to...