Panoramic completes first part of A$31m raise

9th December 2019 By: Esmarie Iannucci - Creamer Media Senior Deputy Editor: Australasia

PERTH (miningweekly.com) - Nickel miner Panoramic Resources has completed the institutional component of its one-for-six non-renounceable entitlement offer, which is expected to raise some A$31-million.

The miner on Monday said that it had received commitments for some A$6.4-million, with around A$3.9-million raised in the institutional component, and a further A$2.5-million to be raised during the shortfall settlement, subject to shareholder approval.

The entitlement offer was priced at 30c a share, with more than 21.36-million shares up for offer.

Panoramic noted that the institutional entitlement offer had received strong support from institutional shareholders, with a near 61% take-up of the new shares offered, with shareholder Zeta Resources committing to taking up its pro-rata entitlement.

The retail component of the entitlement offer would open on December 12, and would close on December 23, unless extended. Up to 87.6-million new shares would be issued under the retail component, expected to raise a further A$11.5-million.

Panoramic previously said that the funds raised would go towards repaying a A$10.5-million bridging loan from Zeta, as well as to continue the development of the Savannah North orebody, and to cover operating costs at the Savannah project, while also funding diamond drill targeting at the upper north crown of Savannah North.