PERTH (miningweekly.com) – ASX-listed DGO Gold has raised A$10-million from a share placement to sophisticated and professional investors.
The junior on Wednesday noted that it placed 6.25-million shares, at a price of A$1.60 each, in two tranches. The first tranche consisted of more than 1.6-million shares, and was placed under DGO’s existing placement capacity, while the second tranche of more than 4.6-million shares will be subject to shareholder approval.
DGO told shareholders that the funds received from the placement would be used for further strategic investments in brownfield gold exploration, and the ongoing exploration activities at its existing sites.
The company holds interests in a number of tenements in Western Australia and South Australia.
DGO share prices fell by more than 11% on Wednesday on news of the capital raise.