Mako Gold has received binding commitments for a two tranche Placement to raise $10 million before costs. The Placement will comprise the issue of up to 125 million new fully paid ordinary shares in Mako at an issue price of 8.0c per share as follows:
Mako’s MD Peter Ledwidge comments:
“We are extremely pleased by the overwhelming support from quality domestic and international institutional investors. Attracting such high-quality institutional investors speaks to the potential of the project and experience of our team. Proceeds of the Placement will strengthen Mako’s balance sheet and provide a pathway to accelerate exploration at the Tchaga Prospect on the Napié Project as we move towards and beyond a Maiden Mineral Resource Estimate.
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“The funds raised will also allow us to implement significant drill programs on other prospects at Napié and to fast-track exploration on our Korhogo Project. We are pleased to welcome a number of new institutional shareholders to our register and sincerely thank our existing shareholders for their continued support.”
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- Tranche 1 of the Placement, comprising up to 64.3 milion New Shares (~$5.1 million), is not subject to shareholder approval and will fall within the Company’s placement capacity under ASX Listing Rule 7.1 and 7.1A; and
- Tranche 2 of the Placement, comprising up to 60.7 million New Shares (~$4.9 million), will be issued subject to Shareholder Approval at a General Meeting proposed to be held on or around mid-August 2021.
The Placement was strongly supported by existing shareholders and introduced a number of new, high quality international investors to the Mako share register.
The significant interest received provides strong validation of the Company’s flagship Napié Project and Tier-1 management and exploration team that has demonstrated a track record of success in West Africa.
Mako is well funded to execute its strategic plan. This includes:
- Accelerate exploration and drilling campaigns at the Company’s flagship Napié Gold Project aiming to extend the consistent high-grade, shallow gold mineralisation identified to date at the Tchaga Prospect;
- Complete infill drilling to underpin a maiden JORC resource at the Tchaga Prospect;
- Test new and existing high priority regional targets at Napié;
- Exploration and drilling campaigns at the Korhogo Project located within 30km of Barrick Gold Corporation’s Tongon Gold Mine;
- Acquisition of potential new projects; and
- Corporate costs and general working capital requirements.