- Rafaella Resources (RFR) is looking to pocket a tidy $4.25 million after wrapping up an oversubscribed private share placement
- All up, 40,476,190 shares are set to be issued under the placement at $0.105 apiece across two tranches
- Proceeds from the raise are set to further the explorer’s activities at its Santa Comba tungsten-tin development in Spain, which Rafaella says is “progressing rapidly”
- Funds will also go towards Rafaella’s Midrim/Laforce nickel-copper-platinum group elements project in Canada, for which it is currently obtaining quotes to undertake electromagnetic surveying
- Rafaella Resources shares are up 4.35 per cent following the announcement to trade at 12 cents
Rafaella Resources (RFR) is looking to pocket a tidy $4.25 million after wrapping up an oversubscribed private share placement.
Placement details
All up, 40,476,190 shares are set to be issued under the placement at $0.105 cents per share, representing an 8.7 per cent discount on the stock’s last trading price on April 9.
Rafaella is also dishing out one free attaching option for every two shares an investor takes up. The options come with an exercise price of $0.20 cents and an October 29, 2022 expiry date.
The new shares are planned to be issued across two tranches, the first of which covering 31,976,392 shares to raise $3.4 million and the second covering the remaining 8,499,798 shares to secure $900,000.
The second share tranche will require shareholder approval before it goes ahead.
Spending plans
Rafaella said proceeds from the raise are set to fuel activities at its Santa Comba tungsten-tin development in Spain, which Rafaella says is “progressing rapidly”, with underground contractors due to be engaged in the near future.
The company is currently in the midst of an ongoing drilling programme at the project in a bid to convert inferred resources into a higher measured or indicated status and confirm high-grade mineralisation amenable for underground mining.
A portion of the proceeds are also expected to go towards Rafaella’s Midrim/Laforce nickel-copper-platinum group elements project, for which it is currently obtaining quotes to undertake electromagnetic surveying.
Rafaella Resources shares are up 4.35 per cent following the announcement to trade at 12 cents at 1:35 pm AEST.