Edenville Energy plc (AIM:EDL), the company developing a coal project in southwest Tanzania, announces a placing to raise £740,000 (before expenses) via the issue of 211,428,572 new ordinary shares of 0.02 pence each in the capital of the Company (“Ordinary Shares”) at 0.35 pence per Ordinary Share (the “Placing Shares”) to new and existing shareholders (the “Placing”). The Placing was undertaken by Northland Capital Partners Limited who have been appointed as the Company’s broker with immediate effect.
The Company will apply the net proceeds of the Placing to advance its current mining operations. The majority of the funds raised will be deployed on expenditure, primarily capital expenditure, in connection with the expansion and enhancement of Edenville’s current mining activities. The Company is currently operating at up to 4,000 tonnes of coal per month and will used these funds to increase production rates in order to fulfil current and potential orders. The balance of the net Placing proceeds will be used for general working capital purposes.
Rufus Short, Edenville’s CEO commented: “The Placing will enable us to both expand our mining and processing operations, as we seek to maximise long-term shareholder value.
“I am pleased with the support that has been shown by investors in the Placing and I look forward to providing Edenville’s shareholders with further updates as we look to increase production rates throughout 2018, in order to fulfil orders from existing and potential customers.”
Admission and Total Voting Rights
Application for the admission to trading on AIM of the Placing Shares on AIM will be made to the London Stock Exchange (“Admission”) and Admission is expected to become effective at 8am on or around 3 May 2018.
Following Admission, the issued share capital of the Company will be 1,547,746,370 Ordinary Shares. The Placing Shares will rank pari passu with the existing Ordinary Shares. In accordance with the Financial Conduct Authority’s Disclosure and Transparency Rules, the Company hereby announces that, following Admission, it has 1,547,746,370 Ordinary Shares, each share carrying the right to one vote. The Company does not hold any Ordinary Shares in treasury. The above figure of 1,547,746,370 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Conduct Authority’s Disclosure and Transparency Rules.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014. Market soundings, as defined in MAR, were taken in respect of the Placing with the result that certain persons became aware of inside information, as permitted by MAR. That inside information is set out in this announcement and has been disclosed as soon as possible in accordance with paragraph 7 of article 17 of MAR. Therefore, those persons that received inside information in a market sounding are no longer in possession of inside information relating to the Company and its securities.
For further information please contact:
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