Corazon Mining Limited (ASX:CZN) Announces Entitlement Issue Prospectus
Entitlement Offer Details
Corazon Mining Limited (ASX:CZN) has announced a pro-rata non-renounceable entitlement issue. The offer includes one share for every share held at an issue price of $0.003, alongside one new option for each share subscribed, aiming to raise up to $2,304,275. This fundraising is designed to strengthen the company’s financial position ahead of upcoming exploration projects.
The entitlement offer is partially underwritten by GBA Capital Pty Ltd. Interested shareholders can participate based on their registered holdings at the record date of November 27, 2024. The closing date for the offer is set for December 13, 2024, with securities expected to be quoted on a deferred settlement basis shortly thereafter.
Funds Utilisation
Proceeds from the entitlement offer will be allocated towards advancing exploration efforts, notably for the MacBride acquisition and Lynn Lake explorations. The breakdown of the allocation includes a significant investment in exploration, working capital requirements, and covering the expenses associated with the offer.
CEO Comments
Brett S. Smith, Executive Managing Director of Corazon Mining, stated, “This entitlement offer positions us well to accelerate our exploration initiatives. We believe this funding will enhance our capacity to unlock the potential of our mineral projects.”
Implications for Shareholders
Existing shareholders should note that not participating in the entitlement offer could lead to a potential dilution of their holdings by approximately 50%. The company cautions that the securities offered pursuant to this prospectus are speculative investments, and it does not guarantee the future performance of shares or the payment of dividends.
For more information, shareholders can refer to the prospectus available on the Corazon Mining website or contact the company directly.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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