Steppe Gold Limited (TSE:STGO) (OTCQX:STPGF) (FRA:2J9) said it has received permission to cross-list on the Mongolian Stock Exchange in a move that will allow more Mongolian investors to trade in its shares.
Following the approval by the Financial Regulatory Commission of Mongolia, the gold mining company said it planned to raise 5 billion Mongolian tögrög (C$2.2 million). Proceeds of the placement will be used for the Phase 2 expansion of its flagship ATO gold mine.
READ: Steppe Gold focused on Phase 2 expansion preparations in Mongolia as production makes slow start in 2021
Over 20% of Steppe Gold’s shares are already owned by Mongolian investors. It said the cross-listing reaffirmed its commitment to enable more Mongolians to share in its success.
“Steppe Gold quickly positioned itself as Mongolia’s leading gold producer and we are excited to attract more Mongolian retail investors and institutions in the growth of our exciting and growing portfolio of precious metal assets,” the company's president and CEO Bataa Tumur-Ochir said in a statement.
“Steppe Gold has built a strong reputation regarding community engagement, investment on the education of Mongolian youths, local development support, job creation, and responsible mining. This cross-listing is aligned with our goal to make an important contribution to not only Mongolia’s economy, but also Mongolia’s stock market,” he added.
Ard Securities, the lead advisor and underwriter of the capital raise, said there was increased interest from Mongolia’s growing retail investor base, with local investors excited to participate in the success of a home-grown mining company with a demonstrated success story.
Contact the author at stephen.gunnion@proactiveinvestors.com