Golden Metal Resources plc has raised £750,000 through a direct subscription from Purebond Ltd.
USES
The company issued 5 million new ordinary shares of 1.0p each, representing 5.5% of the enlarged issued share capital of the company, at an issue price of 15p per share.
The subscription price is a premium of 5.3% to the closing market mid-price of the ordinary shares of the company on 8 March 2024.
Purebond will receive one warrant for every two subscription shares, equal to 2.5m warrants.
The warrants have an exercise price of 25p per ordinary share and expire two years after the subscription shares’ admission to trading on AIM.
Following admission, the company’s issued share capital will comprise 90,894,132 ordinary shares of 1p each, with voting rights.
Funds raised will go towards Golden Metal’s working capital, acceleration of exploration and project development at Garfield and the permitting process and drilling at Pilot Mountain in Nevada, USA.
PUREBOND
Purebond is owned by Wembley-based Solai Holdings Ltd, whose officers include Bhupendra Shantilal Kansagra, a director of Cononish Mining Ltd operated by Scotgold Resources.
Other officers include Ramesh Shantilal Kansagra and Rishi Ramesh Kansagra.
On 30 January 2024, Purebond acquired 75,173, 006 direct shares equal to 3.6% of voting rights in Power Metal, which in turn owns 61% in Golden Metal.
Solai Pension Scheme, which has two directors from Purebond, also has 0.551964% (11,500,000 shares) voting rights in Power Metal.
Solai’s investments are in the UK and Africa and include the maritime and oil and gas industries.