Zanaga announces tranche two private placement completion, upsizing
Aim-listed Zanaga Iron Ore Company has reported that it has entered into subscriptions totalling $21.51-million of gross proceeds at a price of $0.052, about 4.10p, per ordinary share.
This is the second tranche of a fundraising announced on March 3.
The first tranche of $17.43-million was completed on March 13.
As announced on March 3, Greymont Bay, the cornerstone investor in the fundraise, was provided the right at its sole election to invest an additional $1.5-million in the second tranche at the issue price.
This means the gross proceeds of the second tranche will increase from $4.08-million to $5.58-million, and the total gross proceeds from the fundraise will increase to $23.01-million.
The company says it believes that the provision of this additional funding now secures its ability to progress a number of key metallurgical testwork initiatives with the potential to provide significant upside value, as well as accelerating its ability to achieve the pre-construction engineering phase objectives.
"I wish to thank all parties involved in this fundraise and welcome the support of our strategic investors in pursuing the value-adding objectives recently announced,” says Zanaga CEO Martin Knauth.
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