Orion Minerals Ltd (ASX:ORN, JSE:ORN) has raised $1.35 million from its recently-completed share purchase plan (SPP), which attracted strong support from shareholders, particularly those in South Africa.
The SPP is part of a broader capital raising to advance the company’s South African base metal projects, notably its Early Production Strategy at the flagship Prieska Copper-Zinc Project.
The company has already received firm commitments of $6 million for the first two tranches of a three-tranche placement, with discussions continuing with potential participants in Tranche 3 to raise a further $14 million.
“Great result”
Orion managing director and CEO Errol Smart said: “I would like to sincerely thank all shareholders who have participated in the capital raising. The SPP received particularly strong support from our South African shareholder base, which was a great result and reflects Orion’s positive standing in the local community. Orion shares are well traded on the Johannesburg Stock Exchange, providing valuable investor support in our local market.
“Orion is also continuing to progress discussions for the Tranche 3 placement and is in advanced discussions with other potential funding partners, strategic investors and development finance agencies to continue progressing our base metals development strategy in South Africa.”
Under the SPP, eligible shareholders can subscribe for new ordinary fully paid shares in parcels starting from $2,000, up to a maximum of $30,000, at an issue price of 2.0 cents each. Shares subscribed for under the SPP are expected to be issued on August 19, 2022.