Business
Strategic Partnership, Subscription and Warrants
Strategic Partnership, Subscription and Warrants.
About this update from Vsa Capital Group Plc
[{"type":"text","content":"\n\n29 August 2024\n \nVSA Capital Group plc (\"VSA\" or the \"Company\")\nNew Strategic Partnership\nInitial Subscription of 4,500,000 new ordinary shares at 9p to raise £405,000,\nIssue of Warrants\nand\nAppointment of Non-Executive Director\n \nNew Strategic Partnership\nVSA (AQSE: VSA) and Drakewood Capital Management Limited (\"Drakewood\") (together, the \"Parties\") are pleased to announce a strategic partnership to support each other across commodities trading, commodity fund management and commodity investment banking and broking (\"Strategic Partnership\"). VSA expects the Parties' collaboration to lead to a compelling and unique advisory, fundraising and capital services offering for junior mining companies. \nBoth Parties believe we are in a commodities bull market and recognize that junior mining companies have faced difficulties raising capital. VSA anticipates that the Strategic Partnership combined with the additional capital subscribed by Drakewood will allow VSA to attract more junior mining companies as corporate clients, recruit experienced professionals and offer junior mining companies capital for growth opportunities.\nSubscription\nAs part of the Strategic Partnership, VSA is pleased to announce an initial subscription (\"Subscription\") by Drakewood of 4,500,000 new ordinary shares in the Company at a price of 9p per share (\"the Initial Subscription Price\") raising gross and net proceeds of £405,000.\nThe Initial Subscription Price represents a 50 per cent premium to the closing mid-price of the Company's shares at 28 August 2024.\nFollowing the completion of the Subscription, Drakewood's shareholding will be 19.9 per cent of the Company's enlarged Total Voting Rights.\nWarrants\nThe Company currently has approximately 6.9m warrants in issue to Directors and certain senior staff members, exercisable at 2.33p per share. Drakewood have been granted 1,750,000 warrants (\"Warrants\") to subscribe for new ordinary shares. For the first 30-month period (ending on 28 February 2027), the exercise price of the Warrants will be 2.33 pence per share.\nIn the event that the Warrants are exercised after this date, the exercise price will be 9 pence per share, provided that either one or both of the following conditions (\"Conditions\") applies/apply:\ni) &nbs...