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- Gold exploration company Vango Mining (VAN) has received firm commitments to raise $15 million
- A total of 187.5 million new shares will be issued to sophisticated and institutional investors at a price of $0.08 per share
- Vango will also be converting $2.423 million of debt into equity through the issue of 30.3 million shares at the same price as the placement
- The money raised from both the placement and converted debt will be used to advance Vango’s Marymia Gold Project in Western Australia
- In particular, the money will go towards drilling high-grade targets, technical and economic studies, and general working capital
- Vango is up an even 10 per cent and shares are trading for 11 cents each
Gold exploration company Vango Mining (VAN) has received firm commitments to raise $15 million.
A total of 187.5 million new shares will be issued to sophisticated and institutional investors at a price of $0.08 per share.
This price represents a 20 per cent discount to Vango’s last close of $0.10 on June 10, and a 21.8 per cent discount to the five-day volume-weighted average price of $0.1023 per share.
Shares will be issued in two phases with the first phase set to raise $4.4 million through the issue of 55.5 million shares.
Phase two will issue the remaining 132 million shares to raise $10.6 million, however, this is subject to shareholder approval, which will be sought after the general meeting on July 31.
Phase one is expected to settle on June 19 with shares to be allocated on June 22, while phase two will settle on August 6 with shares to be issued on August 7.
Vango will also be converting $2.423 million of debt into equity through the issue of 30.3 million shares at a price of $0.08.
The money raised from both the placement and converted debt will be used to advance Vango’s Marymia Gold Project in Western Australia.
In particular, the money will go towards drilling high-grade targets, technical and economic studies, and general working capital.
“This $15 million capital raising, along with the debt conversion, provides Vango with the funding necessary to rapidly advance the staged and focused drilling programs designed to further grow the company’s high-grade resource base and advance mining studies,” Chairman Bruce McInnes commented.
“The support for this raising is a strong endorsement of our plans to rapidly advance the Marymia Gold Project,” he added.
Vango is up an even 10 per cent and shares are trading for 11 cents each at 1:25 pm AEST.
