Metal Tiger bites into ZimNRG

Metal Tiger was in expansion mode on Thursday, announcing an investment in ISDX-quoted resource firm ZimNRG.

The AIM-traded investor in natural resource opportunities said the deal involved investing £50,003 to acquire 19,027,268 shares, or a 28.25% holding in ZimNRG. It was subject to ZimNRG shareholder approval at a general meeting on 11 March.

Following approval, ZimNRG would change its name to MetalNRG and adopt a new investing policy.

"Metal Tiger is currently working with a number of ISDX and AIM-quoted companies to form strategic working relationships and provide a network of channels, through which investment initiatives and opportunities can be channelled," said Metal Tiger CEO Paul Johnson.

He said ZimNRG was the first such partnership to crystallise.

"If one assumes we are at or near the bottom in the mineral sector cyclical downturn, then we sit with a tremendous opportunity to create value from natural resource investing opportunities," Johnson added.

At 1535 GMT, shares in Metal Tiger were up 2.86% to 0.9p.