Marmota Energy (ASX:MEU) has raised $2.25 million via a placement and a fully underwritten share purchase plan.
The placement was done with the issue of 22.06 million fully paid ordinary shares at $0.068 per share to sophisticated and professional investors for total proceeds of $1.50 million, while the SPP will raise $0.75 million at the same issue price.
The offer price represents a 14% discount to the company's 5-day volume weighted average prices and a 3% discount to its 30-day VWAP.
The raising was underwritten by GMP Securities who also acted as the lead manager.
Funds from the capital raising will be used to undertake Stage 1 reverse circulation drilling at the Durkin copper-nickel and Indooroopilly gold projects.
It will also provide the financial flexibility to rapidly progress to Stage 2 follow up drilling which would involve diamond drilling and extended RC drilling campaign.
It had a cash balance of $2.96 million at the end of December 2012.
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