Conico Ltd (ASX:CNJ) is raising a total of about $3.3 million via a mix of placement and rights issue for funding metal exploration activities in Greenland.
The company’s Ryberg Project in Greenland covers 4,512 square kilometres and contains the Sortekap gold prospect and the Miki Fjord and Togeda copper-nickel-cobalt-PGE-gold magmatic sulphide prospects.
Placement
Under its placement issue, the company will raise about $1 million from sophisticated investors by issuing shares at 3 cents each.
Conico plans to issue new shares under the placement on December 23, 2020.
Rights issue
The company is also undertaking a non-renounceable one-for-ten pro-rata rights offer to eligible shareholders to raise up to $2,269,296 at the same issue price as the placement.
The rights offer will be open to all Conico shareholders, who have a registered address in Australia or New Zealand as on the record date of January 7, 2021.
The rights offer is fully underwritten by Peloton Capital.