Sunstone Metals Ltd (ASX:STM) has offered up to $30,000 dollars in new, fully paid ordinary shares to eligible shareholders through a share purchase plan (SPP), following a well-supported share placement that recently raised $20 million before costs.
Sunstone is offering the purchase plan at the same price the placement shares were offered; $0.067 per share, representing a discount of 4.3% to the closing price of Sunstone shares as of Friday April 8, 2022, and an 8% discount to the five-day volume weighted market average price (VWAP).
The maximum shares issued under the SPP will be 60 million new shares (about 2.4% of shares currently on issue), which would raise up to $4 million before costs.
The company intends to use these funds to advance exploration activities on the Bramaderos and El Palmar gold-copper porphyry projects in Ecuador, and for working capital requirements.
Conditions of share purchase plan
The SPP opened on Thursday April 21, 2022, and will remain open until 5:00pm AEST on Friday May 6, 2022.
Eligible shareholders are invited to purchase shares in the following parcel amounts:
- $5,000 (74,627 shares);
- $10,000 (149,254 shares);
- $20,000 (298,508 shares); or
- $30,000 (447,762 shares).
All new shares issued under the SPP offer will rank equally with existing Sunstone shares from the date of issue, and carry the same voting rights, dividend rights and other entitlements as existing shares.
You are eligible to participate in the SPP offer if:
- you were registered on the Sunstone share register as a holder of Sunstone Shares at 7.00pm (AEST) on April 12, 2022;
- you have a registered address in Australia or New Zealand;
- you are not a US person, or are not acting for the account or benefit of, a US person (as defined in Regulation S under the US Securities Act); and
- you are eligible under all applicable securities laws to receive an offer under the SPP Offer.