First Tin PLC has announced a conditional fundraising to raise approximately £2.1 million through a placing of new ordinary shares. The placing is subject to the company's shareholders passing the Resolutions at the upcoming General Meeting. The Issue Price of 4 pence per Ordinary Share represents a discount of approximately 18 per cent. to the Closing Price of 4.9 pence per Ordinary Share on 9 July 2024.
The Placing is to be conducted by way of an accelerated bookbuild process, and a further announcement confirming the closing of the Bookbuild and the number of Placing Shares to be issued is expected to be made in due course. The Placing is aimed at raising approximately £2.1 million before expenses through the issue of approximately 53,000,000 Placing Shares at the Issue Price, representing approximately 19.9 per cent. of the Enlarged Issued Share Capital.
The net proceeds from the Placing will be used for various purposes, including the completion and submission of the ongoing Environmental Impact Statement and the final permitting processes at the Taronga project in Australia, as well as for general working capital purposes. The Placing is expected to be admitted to trading on the Standard segment of the Main Market of the London Stock Exchange on or around 31 July 2024.
Arlington Group Asset Management and W H Ireland Limited are acting as Financial Adviser and Joint Broker alongside the Bookrunner in connection with the Placing. The Placing is conditional upon the passing of the Resolutions at the General Meeting, admission of the Placing Shares becoming effective, and the delivery of certain documents required under the Placing Agreement.