viewChaarat Gold Holdings Ltd

Chaarat Gold Hlgs Ld - Confirmed Final Proceeds and Closing of Placing

RNS Number : 7925X
Chaarat Gold Holdings Ltd
01 May 2019

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").

Not for release, publication or distribution to United States newswire services or for release, publication or dissemination in the United States and does not constitute an offer of the securities herein.

This press release does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States or any other jurisdiction. Any securities described in this press release have not been, and will not be, registered under the US Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration except in transactions exempt from, or not subject to, registration under the US Securities Act and applicable US state securities laws. There is no public offering of the securities in the United States expected.


1 May 2019

Chaarat Gold Holdings Limited

("Chaarat" or the "Company")

Confirmed final proceeds of USD 2.71 million in respect of the Placing

Closing of the Placing

Chaarat (AIM: CGH), the AIM-quoted gold mining company with assets in the Kyrgyz Republic and Armenia, is pleased to announce that further to its announcements of 1 April and 26 April 2019, it has closed the Placing, having raised gross proceeds of approximately USD 2.71 million from the issue of 6,927,563 new ordinary shares of USD 0.01 each ("New Ordinary Shares") at 30 pence per New Ordinary Share in the Placing, subject to the admission of the New Ordinary Shares to trading on the AIM market of London Stock Exchange plc ("Admission"). This comprises:

(a)  the subscription for 2,600,000 New Ordinary Shares by one of the leading global institutional investors;

(b)  the subscription for 893,666 New Ordinary Shares by existing and new investors; and

(c)  the subscription for 3,433,897 New Ordinary Shares, as previously announced on 26 April 2019.

The issue of the New Ordinary Shares is in addition to the commitment to subscribe for USD 10 million of Convertible Bonds which the Company had already secured, as announced on 1 April 2019.  The Company expects to receive the subscription proceeds for the Convertible Bonds by 31 May 2019.

As previously announced, application will be made to London Stock Exchange plc for the Admission of the New Ordinary Shares. It is expected that Admission will be effective, and dealings in the first 6,033,897 New Ordinary Shares will commence at or around 8.00 a.m. on 2 May 2019.  It is expected that Admission will be effective, and dealings in the remaining 893,666 New Ordinary Shares will commence at or around 8.00am on 3 May 2019.

Following the subscriptions for New Ordinary Shares announced today, the Company has decided to close the Placing immediately.

Commenting, CEO Artem Volynets said:

"We are delighted to welcome these new investors to the Company, and are particularly pleased to see the interest from one of the leading global institutional investors. Its support is a clear expression of confidence in Chaarat's management and growth strategy.

Sound and diversified funding, combined with a focus on assets and resource growth, is central to that strategy. We will continue to efficiently fund the business on accretive terms, whilst maintaining our commitment to minimize shareholder dilution."


Capitalised terms used but not otherwise defined in this announcement have the meanings given to them in the 'Proposed Capital Raising and Notice of GM' announcement released on 1 April 2019 at 15:47 (UK time) under RNS No 7290U.

Participation in the Capital Raising is for invited subscribers only and members of the public are not eligible to take part in the Capital Raising. The details of the Capital Raising in this announcement are for information purposes only and do not constitute an offer to sell or issue, or the solicitation of an offer to buy or subscribe for Placing Shares or Convertible Bonds. No public offer of securities of the Company is being made in the United Kingdom, the United States or elsewhere.


Chaarat Gold Holdings Limited

Martin Andersson (Executive Chairman)

+44 (0)20 7499 2612

Artem Volynets (CEO)

[email protected]

Numis Securities Limited

John Prior, Paul Gillam (NOMAD)

+44 (0) 20 7260 1000

James Black (Corporate Broking)

BMO Capital Markets Limited

(Corporate Broker)

+44 (0) 20 7664 8121

SP Angel Corporate Finance LLP

Ewan Leggat (Joint Broker)

+44 (0) 20 3470 0470



Conal Walsh

+44 (0)20 7250 1446

Isabelle Saber

[email protected]

Sam Austrums


About Chaarat

Chaarat is a gold mining company which owns the Kapan operating mine in Armenia as well as Tulkubash and Kyzyltash Gold Projects in the Kyrgyz Republic. The Company has a clear strategy to build a leading emerging markets gold company with an initial focus on Central Asia and the FSU through organic growth and selective M&A.

Chaarat is engaged in active community engagement programmes to optimise the value of the Chaarat investment proposition. 

Chaarat aims to create value for its shareholders, employees and communities from its high-quality gold and mineral deposits by building relationships based on trust and operating to the best environmental, social and employment standards. Further information is available at www.chaarat.com.


This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "envisages", "estimates", "anticipates", "projects", "expects", "intends", "may", "will", "could", "seeks" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy plans, objectives, goals, future events or intentions. These forward-looking statements include statements regarding the Company's and the Directors' current intentions, beliefs or expectations concerning, amongst other things, investment strategy, financing strategy, performance, results of operations, financial condition, liquidity, prospects, growth, strategies and the industry in which the Company will operate.

By their nature, forward-looking statements involve risks (including unknown risks) and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking statements are not an assurance of future performance. The Company's actual performance, results of operations, financial condition, liquidity and dividend policy and the development of the business sector in which the Company will operate, may differ materially from those suggested by the forward-looking statements contained in this announcement. In addition, even if the Company's performance, results of operations, financial condition, liquidity and dividend policy and the development of the industry in which the Company will operate, are consistent with the forward-looking statements contained in this document, those results or developments may not be indicative of results or developments in subsequent periods.

Any forward-looking statements in this announcement reflect the Company's and the Directors' current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the matters referred to above. Other than in accordance with the Company's obligations under the AIM Rules for Companies, the Company does not undertake to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

Quick facts: Chaarat Gold Holdings Ltd

Price: 37

Market: AIM
Market Cap: £194.09 m

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