De Grey Mining (ASX:DEG) - Executive Chairman, Simon Lill
Executive Chairman, Simon Lill
Source: Finance News Network
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  • De Grey Mining (DEG) has issued its response to rumours published in the Australian Financial Review of an upcoming capital raise
  • AFR Street Talk wrote that, within the next few days, it expected De Grey to launch a capital raising to the tune of roughly $25 million
  • However, De Grey has responded saying that while it will need more capital at some stage, at present it has not determined the quantity, method, or timing of any such raise
  • Further, De Grey affirmed that with $9.9 million in cash reserves it is not under any immediate pressure to undertake a raise
  • De Grey shares are trading 4.92 per cent in the green for 32 cents

De Grey Mining (DEG) has issued its response to rumours published in the Australian Financial Review (AFR) of an upcoming capital raise.

In an article published in the AFR today, Street Talk wrote that, within the next few days, it expected De Grey to launch a capital raising via Bell Potter Securities. It believed that this would be to the tune of roughly $25 million.

However, De Grey has hit back in a statement that it was not contacted for comment or clarification on the subject.

De Grey also highlighted that Bell Potter was the lead broker for its two previous capital raisings. Further, De Grey said that while it will need more capital at some stage, at present, it has not determined the quantity, method, or timing of any such raise.

Less than a month ago, the company received $4.75 million from its largest shareholder DGO Gold when it exercised two option series. De Grey affirmed that it has $9.9 million in cash reserves and as such, it is not under any immediate pressure to undertake a raise.

The company will release further financial details next week in its Quarterly Activity and Cash Flows report for the March Quarter.

De Grey shares are trading 4.92 per cent in the green for 32 cents at market close.

DEG by the numbers
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