- Junior explorer Okapi Resources (OKR) is getting ready to purchase some news projects with the help of an upcoming capital raise
- The company called a two-day trading halt today ahead of the acquisition and capital raise, with shares to resume trading on Wednesday, May 12
- As it stands, Okapi has not revealed any details about the purchase or the capital raise
- Meanwhile, Okapi has also flagged some upcoming board changes alongside the capital raise and the purchase — likely related to Executive Director Andrew Shearer’s resignation in late-April
- Okapi had just over $3.2 million in the bank at the end of March, with another $800,000 received in April thanks to the completion of an earlier capital raise
- Today’s news comes not long after Okapi made the call to proceed with its purchase of the Enmore Gold Project in New South Wales back in January
- Shares in Okapi Resources last traded for 21 cents each on Friday, May 7
Junior explorer Okapi Resources (OKR) is getting ready to purchase some news projects with the help of an upcoming capital raise.
The company called a two-day trading halt today as it prepares to announce the details of the acquisition and the raise to shareholders. As it stands, Okapi has not yet confirmed how much it plans to raise and the nature of the new projects in its sights.
However, Okapi also flagged some changes to its board alongside the capital raise and project purchase.
Company shares will resume trading as per normal on Wednesday, May 12, unless Okapi announces the details of the raise and the acquisition before then.
Today’s news comes not long after Okapi made the call to proceed with its purchase of the Enmore Gold Project in New South Wales back in January.
The purchase came off the back of a $2.5 million placement to sophisticated investors, with shares offered under the placement at 19 cents each. Under the terms of this capital raise, $1.7 million was raised through the first tranche of the placement on December 24, 2020.
In early April, the second tranche of the placement was completed, with Okapi directors buying the extra $800,000 worth of shares.
This meant Okapi had $3.2 million in the bank at the end of March — before the second tranche of the placement — making it “well-funded” to progress the new Enmore project, according to company management.
In late April, Okapi said Executive Director Andrew Shearer had handed in his resignation and would be leaving the company for personal reasons. As such, the upcoming board changes to be announced this week alongside the project purchase and capital raise will likely be related to Andrew’s resignation.
Shares in Okapi Resources last traded for 21 cents each on Friday, May 7. The company has a $10 million market cap.