Ann: A$80m Fully Underwritten Equity Raising to Accelerate Explor, page-96

Yes, strong demand
… and is that a somewhat sour grapes flavour to the gin festivities?
I wonder who are the ‘surprised investors’ who spoke to Bridget?

cheers


https://www.theaustralian.com.au/bu...s/news-story/55e1a665a2e53b00334b00ef757da56d

Popularity of Spartan Resources’s equity raising surprises investors


Huge interest in Spartan Resources’s $80m equity raising surprises investors. Picture: David Gray/AFP

• By BRIDGET CARTER
  DATAROOM EDITOR
• 7:00PM APRIL 21, 2024

Some mining experts were scratching their heads late last week over the huge popularity of the $80m equity raising by the $632m gold miner Spartan Resources.

Spartan raised shares through a $47m placement and $33m entitlement offer at 58c a share, an 11.5 per cent discount to its last closing price of 65.5c on April 17.

The funding is to explore at the high grade Never Never deposit and high-grade Pepper Prospect in Western Australia.

The market seems to have forgotten the company had once collapsed with its deal heavily subscribed to.
A gold price rally and a lack of raisings in the market to gain exposure to the commodity since the raise by Evolution Mining last year is seen as one contributing factor.

While management is considered to be running the business well, an observer did point out that Spartan has never been a tier one asset, so it was a strong result.

But the understanding is that a new discovery was also the draw card, while NRW sold its shares as part of the raising, taking away concerns the stock would fall when it made an exit.

A limited number of funds were allocated a large parcel of stock, taken as a signal that the company wants to keep a tight investor register.