- Los Cerros (LCL) raises $20 million to fund an expanded exploration program across multiple targets at its Quinchia and Andes Gold Projects in Colombia
- The raise will be completed in two tranches, which will see over 125 shares issued at 16 cents per share, but the second tranche will need shareholder approval
- The capital raise will boost Los Cerros’ cash reserves by $24 million, which will be used to explore Quinchia and Andes projects
- On the market, Los Cerros is down 2.78 per cent, trading at 17.5 cents per share at 12:02 pm AEST
Los Cerros (LCL) have raised $20 million to fund an expanded exploration program across multiple targets at its Quinchia and Andes Gold Projects in Colombia.
The raise will be completed in two tranches, which will see over 125 shares issued at 16 cents per share. The second tranche will need shareholder approval.
In the placement two high profile North American gold funds are collectively investing approximately $10 million. Joining them are a number of institutional
and high net worth investors from Australia, UK, and Asia, as well as existing investors.
The capital raise will boost Los Cerros’ cash reserves by $24 million, which will be used to explore Quinchia and Andes projects.
Managing Director Jason Stirbinskis is pleased with the support the company had received from the placement.
“Our success during the last 18 months has placed us on the radar of some of the most significant, influential, and experienced investors in the mining sector,” he said.
“I see that as a resounding endorsement of the team’s performance and success and the enormous potential that remains ahead of us.”
In addition to the placement and subject to shareholder approval Chairman Ross Ashton will subscribe to $160,000 worth of shares at the same price as the placement.
Earlier this week, the company entered a trading halt while it was finalising the details of the placement.
However, Los Cerros was down 2.78 per cent, trading at 17.5 cents per share at 12:02 pm AEST.