- GTI Resources (GTR) is planning to raise $1.49 million in additional capital to help pay for its acquisition of Branka Minerals
- Under the rights issue, shareholders will be offered 1 new share for every 8 already held at an issue price of 1.5 cents each
- GTR plans to buy 100 per cent of the shares on offer in Branka, which owns mining lodes in the US that are prospective for uranium
- The company has already raised $2.6 million through placements to investors, with the rights issue set to close in mid-October
- GTR shares have dropped following today’s rights issue release, down 10.6 per cent at 4.2 cents each
GTI Resources (GTR) is planning to raise $1.49 million in additional capital to help pay for its acquisition of Branka Minerals.
GTR first announced plans to acquire the business in August, after placing its shares in a trading halt ahead of the capital raise announcement.
The company has already raised $2.6 million from two placements and today announced the full details of its non-renounceable rights issue.
Under this latest offer, shareholders will be offered 1 new share for every 8 already held at an issue price of 1.5 cents each.
Additionally, shareholders will be offered 1 free attaching option for every four new share subscribed for under the rights raise.
The rights issue will open on September 27 before closing on October 13, with shares to be issued one week on from that date.
All up, GTR plans to buy 100 per cent of the shares on offer in Branka, which owns mining lodes in the US that are prospective for uranium.
Specifically, GTI Resources will walk away with close to 22,000 acres of land in Wyoming’s Great Divide Basin and Colorado’s Uravan Belt.
If all goes to plan, the business expects to take control of Branka Minerals and its land by November 5.
GTR shares have dropped following today’s rights issue release, down 10.6 per cent at 4.2 cents each at 12:03 pm AEST.