Part of the annoucnment below
ASX ANNOUNCEMENT
9 May 2006
STRONG SUPPORT FOR $50M CAPITAL RAISING
Allegiance Mining NL is pleased to announce a capital raising of $51.2 million through an
institutional placement of 165 million shares at $0.31 per share. The placement will be undertaken
in two tranches – the first tranche of 111 million shares to raise $34.4 million will be issued this
week and the balance after shareholder approvals are obtained at the Annual General Meeting on
31 May 2006.
Strong institutional interest for the capital raising followed the announcement in late May of the
agreement with Jinchuan Nickel Group Limited, China’s largest nickel company, for the sale of
circa A$1.7 billion worth of nickel in concentrate containing approximately 70,000 tonnes of
metal. Jinchuan supplies 90% of China’s nickel and is the world’s fourth largest nickel producer.
The successful capital raising will allow the Company to complete mine development and
construction of the process plant so that on-site nickel production can commence in the first half
of Calendar Year 2007.
Patersons Securities acted as Lead Manager to the placement.
The funds raised will be applied towards:
1. continued development of the Avebury Nickel Project in Tasmania, including
construction of the mill;
2. further exploration of the Company’s mineral interests;
3. investment in and development of future opportunities that may arise; and
4. working capital requirements of the Company.
Share Purchase Plan
To enable all shareholders to participate in a placement, the company is formulating details of a
proposed Share Purchase Plan with the intent that shares will be offered at 31 cents per share to
all shareholders who are able to participate. A detailed announcement will be made as soon as
details are determined.
$5M Subordinated Loan Received from Jinchuan
The company is pleased to advise that it has received the $5M subordinated loan from Jinchuan
Nickel Group Limited, details of which were announced to ASX on 21 April, 2006.
- Forums
- ASX - By Stock
- AGM
- $50million cap raising 0.31c
$50million cap raising 0.31c
-
-
- There are more pages in this discussion • 20 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add AGM (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
LU7
LITHIUM UNIVERSE LIMITED
Alex Hanly, CEO
Alex Hanly
CEO
SPONSORED BY The Market Online