Mkango Resources provides update on Placing
Mkango Resources Ltd. is pleased to announce it has received conditional approval from the TSX Venture Exchange (“TSXV”) for the issuance of 28,000,000 common shares of no par value at an issue price of £0.125 (approx. C$0.2025) per Placing Share, raising £3.5 m (£3.25m net of fees) from new and existing investors. Receipt of final approval from the TSXV is subject to satisfaction of customary conditions.
Accordingly, 28,000,000 Placing Shares have now been issued pursuant to the Placing. The Placing Shares are subject to a statutory hold period in Canada expiring on June 28, 2023. In addition to the Placing Shares, the Company has issued an aggregate of 1,400,000 non-transferable warrants to the brokers who advised in connection with the Placing. Each warrant is exercisable for a period of 12 months with an exercise price of £0.125 per warrant. The warrants (and the underlying shares) are subject to a statutory hold period in Canada expiring on June 28, 2023.
Admission to trading on AIM and Total Voting Rights
Application has been made for the 28,000,000 Placing Shares, which will rank pari passu with the existing common shares of no par value each (“Common Shares”) of the Company, to be admitted to trading on AIM (“Admission”) and it is expected that Admission of the 28,000,000 Placing Shares will become effective immediately.
Following the issue of these Placing Shares, the total issued share capital of the Company will consist of 243,206,548 Common Shares. The Company does not hold any Common Shares in Treasury. Therefore, the total current voting rights in the Company following Admission will be 243,206,548 and this figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA’s Disclosure Guidance and Transparency Rules.
The Placing Shares will also be listed for trading on the TSX-V and will be subject to a statutory hold period in Canada expiring on the date that is four months and one day from issuance of the Placing Shares.
About Mkango Resources Limited
Mkango’s corporate strategy is to develop new sustainable primary and secondary sources of neodymium, praseodymium, dysprosium and terbium to supply accelerating demand from electric vehicles, wind turbines and other clean technologies. This integrated Mine, Refine, Recycle strategy differentiates Mkango from its peers, uniquely positioning the Company in the rare earths sector.
Mkango is developing Songwe Hill in Malawi with a Feasibility Study completed in July 2022. Malawi is known as “The Warm Heart of Africa”, a stable democracy with existing road, rail and power infrastructure, and new infrastructure developments underway.
