Boadicea Resources raising $2.98 million to accelerate copper, gold and nickel exploration

Boadicea Resources raising $2.98 million to accelerate copper, gold and nickel exploration

Proactive Investors

Published

Boadicea Resources Ltd (ASX:BOA) is undertaking a fully underwritten renounceable rights issue to raise up to $2.98 million to accelerate exploration and advance business development activities. The company plans to reward existing shareholders by pricing the rights issue at $0.24 per share, a discount of 34.2% to the last traded price of $0.365 and a 17.6% discount to the 30-day volume-weighted average price. Boadicea has appointed Peak Asset Management as lead manager, corporate advisor and nominee. Peak will fully underwrite the rights issue and work with the company to maximise shareholder value. "Provide a solid financial base" Boadicea managing director Jon Reynolds said: “The funds raised will provide a solid financial base to explore the company’s highly prospective gold, copper and nickel exploration prospects.  “The board believes the support of its long-standing shareholders should continue to be recognised and decided to continue to reward existing shareholders with an attractive entitlement issue plus options and the ability to sell their entitlement rights.  “Our priority for exploration expenditure will be the Koongulla Project in the Paterson Province in Western Australia where we have identified a highly prospective and relatively shallow dome feature with some initial similarities to the world-class Telfer Dome.  “Funds will also be used to advance our Queensland projects, including the highly prospective Clarke Reward project in the Drummond Basin in Queensland and the two BOA managed licences in the Fraser Range in Western Australia.” Rights issue details The rights issue will be offered to eligible shareholders registered at the record date of May 21, 2021, based on one new fully paid ordinary share for every five shares held, together with one free attaching option for each share subscribed and issued.  The free attaching options will be exercisable at $0.42 each and expire on June 30, 2024. On completion, the company will be well-funded with the raised capital to complement existing cash reserves to accelerate planned exploration activities, to pursue solid business development projects and for general working capital. The rights issue is open to all eligible shareholders, who have a registered address within Australia or New Zealand, and who hold the shares on the record date. It will close on Friday, June 11, 2021. All new shares issued will rank equally with existing shares on issue and the company will apply for quotation of the new shares and new options.

Full Article