Bezant Resources plc (LON:BZT) has announced it will raise £600,000 via a sale of new equity, securing working capital and bringing in new investors including AIM-mining deal maker, Colin Bird.
Some 133mln new shares are being sold in an oversubscribed placing arranged by Peterhouse Corporate Finance. The new shares are priced at 0.45p and they will be issued in two tranches, with the first anticipated later this week and the second is subject to shareholder approval.
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Colin Bird and his associated company Tiger Resource Finance Plc is participating in the funding process, providing around £400,000, and he is expected to take a seat on the board as the company’s new executive chairman.
It is expected that Bird will work closely with Bezant’s recently appointed chief executive Laurence Read, who took up his role on January 15.
Bird and Read will launch a full geological and corporate review of Bezant’s operations.
"Bezant has a strong existing portfolio of metals assets with both near-term production potential and the development opportunity for major, longer term mining operations with highly robust economics,” Read said in a statement.
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“Today's fundraising introduces a new supportive investor group to Bezant with a successful track record in platinum production and asset transactions.
“Metals projects of the calibre contained within our portfolio are relatively rare and our task is now to review every opportunity to create value from these assets and seek to generate value for shareholders. I would like to thank our existing shareholders for their support during this time of transition for the company."