Ariana Resources PLC (AIM:AAU, ASX:AA2, FRA:4A6) shares were on the front foot, up 4.5% at 1.93p, after it completed the sale of a 13.6% interest in Turkish gold producer Zenit for US$19.5 million in cash, giving the company fresh non-dilutive funding for its flagship Dokwe gold project in Zimbabwe.
The AIM- and ASX-listed explorer noted the stake was sold to existing Zenit shareholder Özaltin Holding, with net proceeds estimated at around US$17.2 million after local taxes.
Ariana retains a 9.9% interest in Zenit, which the transaction implies is worth US$14.2 million, along with board representation and entitlement to dividends when declared by Zenit.
Managing director Dr Kerim Sener said the transaction “crystallises significant embedded value” from a mature, cash-generative minority investment while allowing Ariana to redeploy capital into Dokwe, where the company is progressing a feasibility study.