• Binding commitments received for a $7 million capital raising.
• Investor demand from Australian and a large base of Asian investors
• Myanmar Metals has advised its partner Win Myint Mo of its decision to extend the option for an 85% interest in the Bawdwin Zn-Pb-Ag-Cu project in Myanmar through to May 2018.
• The Company is now sufficiently funded to proceed with its ongoing assessment at Bawdwin.
• Scoping Study on Bawdwin now underway by CSA Global and to be completed this month.
Myanmar Metals Limited is pleased to announce that through Lead Manager Triple C Consulting Stockbrokers (Triple C) the Company has received binding commitments for a capital raising of $7,000,000 through the issue of 100,000,000 new fully paid ordinary shares at an issue price of 7 cents per share. Completion of the capital raising is expected to occur on or about Friday, 17 November 2017.
The Company received considerable demand from investors in Australia and Asia.
Funds raised from the placement will provide the Company with the required financial resources to extend the option over the Bawdwin Zn-Pb-Ag-Cu project in Myanmar through to May 2018 as planned; advance due diligence at Bawdwin, and fund general working capital expenses.
Executive Chairman and CEO John Lamb commented: “We are grateful to new and existing shareholders for their support for this placement. The pricing of the placement which represents a 16% discount to the 5-day VWAP is reasonable for such a raising and the level of demand received is a strong vote of confidence in the Company’s strategy and the potential that investors see in the Bawdwin asset. “
“Bawdwin is a world-class asset with enormous unlocked value. Over recent months we have completed an initial JORC resource on remnant and adjacent, lower grade ‘halo’ mineralisation and commenced a scoping study through our key consultants CSA Global.
Corporately, we have secured a cornerstone shareholder in Mark Creasy’s Yandal Investments and have secured an experienced and industrious executive team. We intend to continue the rapid pace of development demonstrated by your new Board since we took over in June 2017.”
Triple C will be entitled to be issued 7,000,000 options exercisable at 7 cents on or before 15 November 2020, subject to shareholder approval, in addition to customary capital raising fees.
An Appendix 3B and Disclosure Document will be issued shortly.