Amigo Resources PLC (LSE:AMGO, FRA:0VG) has raised £3.07 million through a share subscription to fund working capital and support its push into African mining opportunities.
The company is issuing 139.7 million new ordinary shares at 2.2p each to new and existing investors, representing a 20% discount to the 2.75p closing mid-market price on 29 May.
Amigo said the subscription price also represented a 633.33% premium to the 0.3p conversion price attached to its £1.5 million mandatory convertible loan notes, which were conditionally issued in November 2025 and approved by shareholders in December.
The company said previously raised funds of around £1.68 million, raised through the loan notes and WRAP offer, had been deployed to establish its operating platform in Tanzania.
Net proceeds from the latest subscription will be used for general working capital and to support a possible initial reverse transaction, likely in the mining sector (but, as is customary, it cautioned that no terms have yet been agreed and there is no certainty that a reverse transaction will take place).