Atlas Metals Group PLC slumped on Tuesday after it said a deal to buy Morocco-based Managem SA’s Compagnie Miniere de Oumejrane had collapsed.
Shares in the micro cap dropped 61% to 11.11p on news the agreement had been terminated on Atlas failing to raise required funds within an agreed timeframe.
Atlas had previously sought to raise £15 million to fund the takeover of Compagnie Minière de Oumejrane, which has mining operations throughout Africa.
However, Atlas noted it had been unable to “in light of feedback from prospective institutional investors”.
“The company is now examining possible alternative options to which may allow it to continue to engage in the closing of the acquisition,” Atlas added.