Regency Mines PLC (LON:RGM) has raised £240,000 via a placing undertaken by its broker, First Equity Limited, with the monies to be used to provide funding during the current strategic review of its operations.
The AIM-listed natural resource exploration and development company, with interests in coal, energy storage, natural gas and battery metals, said 399,999,998 new ordinary shares were placed at £0.0006 each, with 24 month 1-for-1 warrants attached exercisable at £0.001.
The group also said that a six-months lock-up period has been agreed in respect of a total of 218,400,146 shares converted on 15 March and 25 March 2019 under loan arrangements YA II PN Ltd and Riverfort Capital Ltd, with an amended loan repayment schedule to begin in July 2019.
Regency Mines noted that 11,666,666 shares were subscribed for Scott Kaintz, the company’s COO and CFO, and 5,000,000 shares were subscribed for by Andrew Bell, its chairman and CEO, taking their respective holdings, respectively, to 1.24% and 3.32% of the group’s share capital.
Kaintz commented: "After several months of disruptions, this placing, alongside significant modifications to our loan facility and associated lock-ups, puts the Company on an even keel and allow it [to] move forward in its process of conducting a strategic review of its operations.
“We will commence a detailed analysis of our assets and overarching strategy, and we expect to announce additional board members during this period. We appreciate the support of many long-standing Regency investors and stakeholders as we continue to move the business onward."