Apollo Minerals (ASX:AON) has completed the underwritten component of its previously announced non-renounceable pro-rata entitlements offer.
The entitlement offer was partially underwritten by the company’s directors by taking up their full entitlements and investing an additional $302,500 as a partial underwriting commitment.
As a result, the directors have been issued more than an additional 6.722 million shortfall shares at an issue price of $0.045 per share. The remaining shortfall from the entitlement offer is just over 52.143 million shares also at an issue price of $0.045 per share.
The company has the right to issue the remaining shortfall within 3 months after the closing date.
Taurus Capital Group are acting as lead manager, on a best endeavours basis, to manage the placement of any additional shortfall that may arise from the entitlements offer.
On 31 January, Apollo announced it was seeking to raise up to $4.34 million before costs via the issue of up to more than 96.454 new fully paid ordinary shares. Under the offer, eligible shareholders have been offered the opportunity to purchase 1 new share for every 5 fully paid ordinary shares held in Apollo Minerals at the record date, at an issue price of $0.045 per New Share.
Funds received from the entitlements offer are proposed to be used advance exploration activities at the company’s 100% owned Kroussou Zinc-Lead Project located within the Ngounié Province of Western Gabon. A portion of the funds raised will also be used for general working capital purposes including corporate and administrative costs.
At the time of the January announcement, the company directors had committed to take up their entitlements under the entitlement offer and to partially underwrite the offer by applying for shortfall shares, up to a combined total of about $700,000.
The Kroussou project is located in south-west Gabon. The project exploration permits, 100% owned by Apollo, is some 220km south of the capital Libreville within the Ngounié Province.
The project consist of 2 exploration permits, which cover 2,363km-square and have 135km of strike length along the prospective contact between the Cretaceous Cotier Basin to the west and Archean/Proterozoic basement to the east.
Write to Adam Orlando at Mining.com.au
Images: Apollo Minerals Limited
