Draig Resources

A$17m Share Placement

December 2011

On 9 November 2011, Draig (formerly named C @ Limited) issued a prospectus proposing a capital raising of A$17 million comprising of the following components:

  • a share placement of 28 million ordinary shares at an issue price of A$0.50 per share (A$0.025 per share pre-consolidation) to professional and sophisticated investors to raise A$14 million; and
  • a priority offer to existing shareholders of 6 million shares at A$0.50 per share to raise A$3 million.

Net funds raised pursuant to the placement were used to:

  • fund the acquisition of tenements from Peabody-Winsway Resources LLC;
  • fund the exploration program for the purpose of defining a JORC compliant resource on the project;
  • fund additional project valuation;
  • fund future coal acquisitions;
  • pay expenses of the Placement and Priority Offer
  • provide general working capital.

Azure was appointed corporate adviser to the placement.