Shares in Vast Resources PLC (AIM:VAST) tumbled 15% on Monday after the AIM-listed miner announced a discounted fundraise worth £2.7 million.
The cash was secured through a placing and subscription of new shares priced at 0.35p each, well below the company’s previous closing price.
The raise involves over 774 million new ordinary shares issued in two tranches.
Vast said the investment will be used to improve the value of its diamond parcels, support a newly appointed technical team, and provide general working capital.
The company is also looking to accelerate a technical review of its projects, announced last week.
Axis Capital Markets acted as joint broker on the placing.
The stock fell 0.067p to 0.38p.