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- Strickland Metals (STK) is backed by shareholders for a $4 million raise to expand drilling programs at its flagship Yandal project in Western Australia
- The company launched a placement of 125 million fully paid ordinary shares to institutional and sophisticated investors at an issue price of 3.2 cents
- Strickland’s directors also committed their support for the placement via a collective total of $225,000, subject to shareholder approval
- The new funds will underpin Strickland’s next phase of drilling and resource growth at both its Yandal and regional projects
- Strickland Metals is down 8.11 per cent, trading at 3.4 cents at 12:35 pm AEDT
Strickland Metals (STK) has been backed by shareholders for its $4 million raise to expand drilling programs at its flagship Yandal project in Western Australia.
The company launched a placement of 125 million fully-paid ordinary shares to institutional and sophisticated investors at an issue price of 3.2 cents.
The offer price represents an 18.4 per cent discount to the 15-day volume-weighted average and a 13.5 per cent discount to the last closing price of 3.7 cents.
Strickland’s directors also committed their support for the placement via a collective total of $225,000, resulting in over 7 million new shares, subject to shareholder approval.
The new shares will rank equally with the shares currently on issue.
Chief Executive Officer Andrew Bray said the company is delighted to have successfully raised $4 million largely from its existing shareholder base.
The new funds will underpin Strickland’s next phase of drilling and resource growth at its flagship Yandal project and regional projects.
“The funds raised will allow Strickland to continue its highly effective and successful exploration programs at its flagship Yandal gold project, the results of which are feeding into an updated mineral resource,” Andrew Bray said.
“Additionally, several diamond holes will also be drilled at Iroquois in the coming weeks testing the main feeder structure as well as an interpreted easterly extension of the mineralisation.
“This drilling will occur prior to the planned demerger and IPO of Iroquois and is designed to provide stronger understanding of the controls on the mineralisation.”
Strickland Metals was down 8.11 per cent, trading at 3.4 cents at 12:35 pm AEDT.
