Mineral & Financial Investment completes £0.5m placing

Mineral & Financial Investment announced on Thursday that it has successfully completed, subject to admission, a placing to raise approximately £0.475m from the issue of 10 million new ordinary shares of 1.0p each, at a price of 4.75p per share.

The AIM-traded firm said this financing was priced at the bid price of the market, as at the close of business on August 3.

It confirmed that application has been made for the new ordinary shares to be admitted to trading on AIM, and dealings are expected to commence on 10 August.

Mineral & Financial’s board said the funds raised from the placing will be used to fund current investment initiatives, have sufficient additional financial liquidity to pursue investment opportunities currently under review and evaluation, as well as for general and corporate purposes.

“We believe we have had a successful twelve months, in challenging markets, building our portfolio of assets,” said chairman Jacques Vaillancourt.

“This fundraise will provide further liquidity to our currently positive working capital and healthy balance sheet.

“Our objective remains to work on behalf of our shareholders cost effectively to build value from our investments in the mining sector with a proactive approach,” Vaillancourt explained.

He said that as the mining sector opens up, there is a temptation for many investors to rush back into individual stocks, but he believes that the lessons of the last decade teach that individual mining boards would benefit from a more active representation from their shareholders with regards to making key, corporate decisions.

“We look to work constructively in partnership with mining companies.

“I believe that currently the opportunities to build value in mining are increasing and as a board we believe it is time to expand our portfolio of operations,” Vaillancourt added.