AKN
AuKing Mining at Sandiego within Koongie Park. Source: AuKing Mining
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  • AuKing Mining (AKN) launches its capital raise of $7.1 million, consisting of a two-tranche placement and entitlement offer to raise funds for various projects
  • The placement will raise around $3.61 million through two tranches, with the first tranche issuing around 18.8 million new shares and a second tranche of seven million shares at an issue price of 14 cents per share
  • The offer is open to eligible shareholders at the same issue price as the placement, and will be issued one new option for every three new shares applied for
  • The funds raised will be used to acquire the remaining 25 per cent interest in the Koongie Park JV and fully acquire PGE rights across the Koongie Park tenure package, amongst other projects
  • AKN shares are down 6.25 per cent, trading at 15 cents

AuKing Mining (AKN) plans to raise $7.1 million for further drilling, exploration and acquisition of various projects.

The capital raise will include a two-tranche placement and entitlement offer, which will see shares at 14 cents each, a 12.5 per cent discount to the last traded share price on April 13.

The placement aims raise around $3.61 million through two tranches, with the first tranche issuing around 18.8 million new shares and a second tranche of seven million shares.

Eligible shareholders will be able to participate in the entitlement offer at the same issue price as the placement.

Under the offer, eligible shareholders will be issued one new option for every three new shares applied for.

Vert Capital has been appointed lead manager for the placement and will be paid six per cent of all funds raised in the capital raising and will be issued 20 million options at an issue price of 0.1 cents per option, subject to shareholder approval.

The funds raised will be used to acquire the remaining 25 per cent interest in the Koongie Park JV and fully acquire PGE rights across the Koongie Park tenure package.

The PGE rights were previously excluded from Koongie Park which allowed AuKing the exclusive right to explore and develop gold and PGEs across the rights, and will now provide significant optionality and potential exploration upside.

Funds will also be used for drilling and further exploration work at the Sandiego and Onedin deposits and the Emull prospect.

AKN shares were down 6.25 per cent, trading at 15 cents as of 3:31 pm AEST.

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