- Metal Bank (MBK) has wrapped up a recent capital raising venture, walking away with $2.1 million in equity
- The company successfully executed a placement last month and today closed its one-for-six entitlement offer oversubscribed
- Metal Bank said it received around $1.7 million in valid applications, but scaled the offer back to $1.18 million
- Shares issued under both of the capital raises were offered at 0.7 cents each — a discount of 36.4 per cent
- While the majority of the funds raised will go towards exploration programs on its 8 Mile and Eidsvold Projects
- Shares in Metal Bank are trading up 37.5 per cent at 1.1 cents each
Minerals exploration company Metal Bank (MBK) has wrapped up a recent capital raising venture, walking away with $2.1 million in additional cash.
Metal Bank first announced the capital raise back in July, when it locked up its shares ahead of an announcement.
It then revealed it had raised $927,000 through a share placement and was planning to raise more funds via a one-for-six entitlement offer.
Under both the placement and entitlement offer, shares were offered for 0.7 cents each – a discount of 36.4 per cent.
Subscribers for both offers also received a one-for-two attaching option, exercisable at 1.5 cents each and expiring on March 31, 2022.
The entitlement offer closed today oversubscribed, with Metal Bank receiving around $1.7 million in applications from shareholders.
But, the company has scaled back the applications to its original target of $1.18 million — meaning it will walk away with just over $2.1 million in total from both the placement and entitlement offer.
The majority of the funds raised will be spent on exploration programs on its 8 Mile and Eidsvold Projects in Queensland.
Metal Bank recently announced it had planned a two-phase exploration strategy to progress development at both of the projects within the next eight months.
Shares in Metal Bank are up 37.5 per cent at 1.1 cents each at the close of market today.