Hazelwood Resources (ASX: HAZ) has closed an entitlements issue partly underwritten by GMP Securities Australia to an amount of $3 million.
The company raised $933,234 after receiving acceptances for about 933.2 million entitlements and additional shares.
The underwritten shortfall of just over 2 million shares ($2.06 million) will be issued in accordance with the underwriting agreement.
Issue of the shares is scheduled to occur on Wednesday, 9 December 2015.
The funding drive follows quickly on a move by the company to improve its financial footing by selling two Western Australian tungsten exploration assets to Tungsten Mining (ASX:TGN).
This sale will result in Hazelwood receiving A$1 million in cash and 56 million Tungsten Mining shares.
It will also allow Hazelwood to focus on its production activities at the ATC ferrotungsten operation in Vietnam, which has recently attracted increased sales interest from Japanese buyers.
In September, three Japanese buyers contracted to acquire ferrotungsten from the plant at prices above spot prices on the European market.
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