Dacian Gold Ltd (ASX:DCN) will open a $5 million shareholder capital raising on Monday after raising $40 million from a “heavily oversubscribed” institutional placement at $2.70 a share.
The company reported today it was fully funded to undertake its accelerated Westralia and Cameron Well exploration programs and draw a line under its life-of-mine royalty obligations for Jupiter.
Sophisticated investors to join share register
Dacian’s placement from sophisticated domestic and international investors was launched on Wednesday and will add about 14.8 million shares to its register next week.
The company had originally targeted a $37 million raising from sophisticated investors but attracted an extra $3 million of funds.
It expects to add the new shares to its register next Thursday, July 19, with the company predicting it will end up with about 220.7 million shares on issue.
READ: DACIAN GOLD’S 97-METRE GOLD INTERSECTION THICKEST YET AT CAMERON WELL PROSPECT OF MT MORGANS PROJECT
Dacian executive chairman and CEO Rohan Williams said: “I am delighted with the success of the institutional placement which was very strongly supported by a high-quality group of investors.”
The chief executive officer said the company was also grateful for the support of its existing shareholders who will be able to participate in Dacian’s upcoming share placement plan.
Existing investors to take part
Dacian’s capital raising for ordinary investors opens on Monday.
Shareholders can grab up to $15,000 of new shares at a price of $2.70 a share — about 5,556 new shares for each investor who was on the share register earlier this week, on Tuesday.
Applications are due on Monday, July 30, by 5pm Australian Eastern Standard Time.