viewBlack Rock Mining Ltd

Black Rock Mining’s heavily oversubscribed offer a strong endorsement of graphite strategy

The entitlement offer capped at $1.65 million resulted in applications from existing shareholders for shares valued at more than $2.4 million.

Black Rock Mining Ltd - Black Rock Mining’s heavily oversubscribed offer a strong endorsement of graphite strategy
Funds will be allocated to development of the Mahenge Graphite Project in Tanzania

Black Rock Mining Ltd (ASX:BKT) has received a strong endorsement of its graphite strategy from existing shareholders through a heavily oversubscribed entitlement offer that was capped at $1.65 million.

A maximum of 39,308,982 new shares was offered and the company received applications including entitlement and additional applications under a top-up facility for more than 58 million shares amounting to $2,436,443.

Under the terms of the entitlement offer eligible shareholders were entitled to apply for one new share at an issue price of 4.2 cents for every 16 shares held on the record date.

“Tremendous support”

Black Rock managing director and CEO John de Vries said: “On behalf of the board of Black Rock I am very grateful and humbled by the tremendous support and endorsement we have received by having 100% of our entitlement offer accepted by our existing shareholders.

“I look forward to providing our shareholders with further market updates on the development of the company’s Mahenge Graphite Project.”

Shares higher

The company’s shares were up more than 12% to 5.5 cents intra-day.

Black Rock agreed to accept all the applications including the additional applications under the top-up facility up to the maximum allowable under the entitlement offer prospectus.

The company accepted 27,957,488 shares from shareholders under their 1-for-16 entitlement and a further 11,303,536 shares as a result of the additional applications under the top-up.

Pro-rata allocation

As a result, there is no shortfall for the company’s Underwriter, Lazarus Corporate Finance Pty Limited, to place and fulfil.

The board has determined that the most appropriate allocation of the oversubscriptions is based on a pro-rata of each shareholder’s application under the top-up facility as a ratio and percentage of their total additional applications received under that facility.

Refunds over and above the maximum total allowable under the prospectus will be returned to shareholders next week.

Quick facts: Black Rock Mining Ltd

Price: 0.058 AUD

Market: ASX
Market Cap: $38.76 m

Add related topics to MyProactive

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


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 Black Rock Mining Ltd named herein, including the promotion by the Company of Black Rock Mining Ltd in any Content on the Site, the Company...


Black Rock Mining agrees MOU with major Korean industrial group for Mahenge...

Black Rock Mining Ltd's (ASX:BKT) managing director and CEO John de Vries speaks to Proactive's Andrew Scott after signing a non-binding Memorandum of Understanding (MOU) with major Korean industrial group POSCO to form a strategic alliance and development relationship for the Mahenge Graphite...

on 10/6/20

2 min read