In a huge boost for Citigold Corporation (ASX:CTO, NASDAQ Dubai:CTO, FSE:CHP) shareholders and the Charters Towers gold operations, the Share Purchase Plan closed oversubscribed.
Befitting the burgeoning gold production from Charters Towers in 2009/10 and offer terms, over 2,300 Citigold shareholders invested A$9.5 million in the SPP, which was 180% of the company's internal budget. The SPP is the Company’s most successful Plan to date.
In addition, the Company also accepted a small private placement of A$1,850,000 on the same terms as the Plan for a total of 12,140,625 shares. Therefore, total capital raised by Citigold was A$11.4 million.
Mark Lynch, Citigold Managing Director said the Company was extremely pleased with the interest shown by shareholders in the share Plan. It also reflected favourably on a broad confidence in Citigold’s management and its strategy for growing the 100% owned Charters Towers gold operations into a significant independent gold producer.