logo-loader
viewMkango Resources Ltd

Mkango Resources to list on London's junior market

Mkango will issue fresh capital as part of the flotation in London

The LSE
Mkango will retain its listing in Canada

Mkango Resources Ltd (CVE:MKA) is to seek a listing on London's Alternative Investment Market (Aim), raising £1mln (C$1.87mln) in the process.

The listing will coincide with a placement of shares by the Republic of Malawi-focused rare earths explorer, plus a three-to-one share consolidation that would have the effect of reducing the number of shares in issue (ahead of the placement) from 121.26mln shares to 40.42mln.

Once the consolidation has been effected, Mkango will issue 30.3mln post-consolidation units at a price of 3.3p per unit.

As is commonplace with share issues in Canada, but rare in the UK, each unit will comprise one common, or ordinary, share and a purchase warrant. The purchase warrant will entitle the holder to buy one common share at a price of 6.6p for a period of up to three years following the closing date of the placement.

Under certain conditions, the expiration period of the warrants may be brought forward.

Funds from the share issue should provide Mkango with sufficient working capital for at least 18 months.

Shares in Mkango fell to C$0.015 from C$0.020 at last night's close.

Quick facts: Mkango Resources Ltd

Price: 7.15 GBX

LSE:MKA
Market: LSE
Market Cap: £9.51 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Mkango Resources Ltd named herein, including the promotion by the Company of Mkango Resources Ltd in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Mkango Resources signs definitive agreement to develop Songwe Hill licence

Will Dawes, chief executive of Mkango Resources Ltd (LON:MKA), tells Proactive Investors they've signed off their agreement with trading group Noble to develop the Songwe Hill licence in Malawi. Talaxis, a subsidiary of Noble, will acquire up to 75% of Lancaster Exploration, which holds...

on 18/5/18

2 min read