Golden Metal Resources plc raised £1.98 million via a placing and subscription for the start of its trading today on the alternative investment market (AIM).
TERMS
The fundraise, through issuing 23,317,643 new ordinary shares of £0.01 each, is part of the admission process.
Placing shares totalled 12,449,208 new ordinary shares and subscription shares totalled 10,868,435.
Every two placing shares and every two subscription shares carries one warrant to subscribe for one further new ordinary share for 10.75 pence over 12 months, and one warrant to subscribe for one further new ordinary share for 17 pence over 24 months from admission.
POWER METAL
The company was established to hold, explore and develop all of Power Metal Resources plc’s Nevada mining assets in the USA.
After a £750,000 fundraise in April 2022, Power Metal held 83.13% of Golden Metal’s existing ordinary shares.
On admission today, Power Metal holds 52,248,756 ordinary shares of 1p each, representing 62.06% of Golden Metal’s enlarged share capital.
Power Metal also holds 1,749,378 warrants to subscribe for a further 1,749,378 Golden Metal shares each for 10.75p over the next 12 months and 1,749,378 warrants to subscribe for a further 1,749,378 shares each for 17.5p over the next 24 months.
USES
Golden Metal will use the proceeds to progress the Nevada assets and for working capital.