Vast Resources raises working capital in placing

Romania and Zimbabwe-focused miner Vast Resources announced on Wednesday that it has raised £0.86m before costs through a placing and subscription of 300 million ordinary shares of 0.1p in the company, at a price of 0.285p per share.

The AIM-traded company said that, for each share placed or subscribed it would also issue one warrant entitling the holder to a new share at any time up to 30 June 2019, subject to shareholder approval.

“The purpose of the placing and the subscription is to provide additional working capital to the company following the termination of the equity subscription agreement with Crede CG III Ltd,” Vast’s board said in a statement.

“The placing and subscription today provides the board with the flexibility and required time to review a number of alternative financing scenarios.

“As announced on 1 July, the directors will now assess these opportunities with a keen focus on keeping further shareholder dilution to a minimum,” the board explained.