Shares in Panther Metals PLC (LSE:PALM) fell 8% to 61.9p on Tuesday after the exploration group announced a £600,000 placing at a discount to its market price.
The London-listed company said it had raised the funds through an allotment of 1 million new shares at 60p each to its chief executive, Darren Hazelwood.
The placing price represents an 11% discount to Monday’s closing price of 67.5p and accounts for about 17% of the company’s existing share capital.
Hazelwood will transfer the new shares to investors arranged by Hybridan, which acted as placing agent and will become Panther’s sole broker once the shares are admitted to trading on 31 October.
Panther also plans to launch a retail offer of up to 166,667 additional shares at the same 60p price through the Winterflood Retail Access Platform, aiming to raise a further £100,000.
This will allow individual investors to participate in the fundraising on the same terms as institutions.
The company said the placing used a regulatory exemption allowing employee participation without publishing a full prospectus. The proceeds will support Panther’s exploration projects, which span gold and base metal assets in Australia and Canada.