- Kairos Minerals (KAI) has raised approximately $1.7 million through its recent non-renounceable pro-rata entitlement offer
- The company received valid applications for approximately 155 million new shares, consisting of entitlements and shortfall shares
- Kairos Minerals expects that its new shares should be issued by July 29, 2020
- The company plans to use the proceeds from the entitlement offer to fund work at its various gold projects
- Kairos Minerals shares are up 4.76 per cent in early trade, priced at 4.4 cents per share
Kairos Minerals (KAI) has raised approximately $1.7 million through its recent non-renounceable pro-rata entitlement offer.
The entitlement offer, which the company detailed in a prospectus released on June 18, was recently closed on July 22, 2020.
Over the course of the offer, Kairos received valid applications for 155,372,523 new shares, which raised $1,709,097 in total. The approximately 155 million new shares consisted of 109,727,051 entitlements taken up, and 45,645,472 shortfall shares.
The approximately 45 million shortfall shares were subscribed for and allocated to eligible holders and additional investors. Allocation of the shortfall shares was undertaken in accordance with a policy set out in the entitlement offer prospectus of June 18.
Prior to this entitlement offer, Kairos Minerals had 1,246,673,019 existing shares on issue. The addition of new shares issued as a result of the entitlement offer will bring this number to approximately 1.4 billion shares on issue.
Kairos Minerals expects that the new shares from the entitlement offer will be issued by July 29, 2020.
The company will use the $1.7 million proceeds of the entitlement offer to fund activities at its various gold projects. This will include exploration fieldwork programs, drilling, and mining studies at the company’s Pilbara Gold Project.
The funds will also be put towards funding geochemistry programs and drilling across priority intrusive-related gold targets at the Kangan and Skywell projects, as well as reverse circulation drilling at the large Fuego gold anomaly.
The company will also use some of the proceeds for working and other capital requirements.
Kairos Minerals shares are up 4.76 per cent in early trade, priced at 4.4 cents per share at 10:39 am AEST.