St George Mining Limited (ASX:SGQ) Launches A$3M Capital Raising
Capital Raising Details
St George Mining Limited (ASX: SGQ) has secured firm commitments for a capital raising of A$3,000,000. This will occur through a placement of fully paid ordinary shares to sophisticated and institutional investors, aimed at enhancing working capital and funding exploration projects.
Placement Overview
The placement will involve issuing 150,000,000 ordinary shares at A$0.02 per share, accompanied by 75,000,000 options to acquire ordinary shares. Each option entitles the holder to purchase a share at A$0.04, expiring two years post-issue. The issue of the shares is scheduled to occur around 4 December 2024, with options pending shareholder approval in late January 2025.
Araxá Project Acquisition
St George is actively progressing arrangements to acquire the high-grade Araxá Niobium-REE project in Brazil. A further capital raising is planned to support this acquisition, which is expected to close in Q1 2025.
Executive Comments
John Prineas, Executive Chairman of St George Mining, expressed gratitude to investors, stating, “This placement will boost working capital and assist to progress our existing projects. We are also excited to be progressing arrangements for the proposed acquisition of the Araxá Project in Brazil.”
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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