Keras Resources updates on Pharmanet Group Ltd prospectus

Keras Resources said ASX-quoted Pharmanet Group Ltd has lodged a prospectus with the Australian Securities and Investments Commission on 5 May 2017.

The prospectus was lodged to raise A$7.8m as part of the proposed acquisition by Pharmanet of 100% of the issued share capital of Keras subsidiary Keras (Gold) Australia Pty Ltd.

Pharmanet was expected to relist as Calidus Resources Ltd in June 2017.

Keras said the ASX capital raising followed the recent oversubscribed raising by Pharmanet of A$0.6m from sophisticated investors, as announced by Keras on 18 April 2017.

"Funds raised will be used to undertake a major drilling and exploration programme at the Warrawoona Gold Project and to undertake initial Scoping Studies, as well as repay the Acquisition Finance Facility," said Keras in a statement.

At 10:38 BST, shares in AIM-quoted Keras were flat 0.4p each.