West African gold company Azumah Resources Ltd (ASX: AZM) is pleased to announce that it has arranged an institutional placement totalling approximately A$11.16 million (before expenses) through a heavily demanded share placement as part of its push to fasttrack exploration and development of its 100%-owned Wa Gold Project in north-west Ghana.
The capital raising, comprising an issue of 27.9 million shares at 40 cents per share, has been allocated to North American and Australian institutional investor clients of Toronto based Clarus Securities Inc., Melbourne/Sydney/Hong Kong based BGF Equities and Perth based Blackswan Equities Limited.
Pursuant to the 15% allowance under ASX Listing Rules the placement does not require shareholder approval.
This capital raising, at twice the price of the previous raising last October, is consistent with the Company�s strategy to broaden its shareholder base and introduce North American institutional investors onto its share register.
The funds raised will bolster Azumah�s working capital to over A$16 million. The funds will be primarily directed towards a major expansion of exploration and drilling focused on growing the Company�s present 1.1Moz Indicated and Inferred Mineral Resource (Table1).
Download the full announcement including figures and tables.