Titan Minerals Ltd (ASX:TTM, OTC:TTTNF) has taken total recent capital raising proceeds to approximately A$8.17 million after closing an entitlement offer shortfall significantly oversubscribed.
As a result, the A$2.85 million entitlement offer shortfall has been placed to institutional and sophisticated investors.
Additional placement
Applications for the shortfall were significantly oversubscribed and given the strong demand, Titan has received firm commitments for an additional placement of A$550,000.
The additional placement of TTM shares and options on the same terms and conditions as those offered under the offer prospectus will be issued under the company's placement capacity in line with Listing Rule 7.1 and 7.1A.
Together, the entitlement offer, entitlement offer shortfall and additional placement raised approximately A$8.17 million.
Use of funds
Titan Minerals intends to use the proceeds to fund exploration and resource development activities at the flagship Dynasty Gold Project in southern Ecuador.
The company will also attribute funds raised towards working capital, corporate and administrative expenses.
New securities not taken up by eligible retail shareholders under the retail entitlement offer were allocated to institutional investors under the shortfall component of the offer managed by CPS Capital Group Pty Ltd, which acted as the lead manager for the shortfall and additional placement.
READ: Titan Minerals secures key land access for Dynasty Gold Project
Titan is focusing on exploration at the Dynasty Gold Project and last month signed agreements with the Yaraco and Lucarqui communities, securing land access and increasing the project’s exploration footprint.
The access agreements cover some of the most prospective areas of the project, which have never been explored for minerals before now.
This represents a strengthening of community relationships based on mutually beneficial negotiations, a vital step in the exploration and development of the project.