PERTH (miningweekly.com) – ASX-listed Prodigy Gold is hoping to raise up to A$8.8-million through a one-for-four non-renounceable pro rata rights issue.
The rights issue will be priced at a 4% discount to the ten-day volume weighted average price of Prodigy Gold shares on Thursday, and all new shares will be ranked with existing shares from the date of issue.
Prodigy said on Friday that eligible shareholders participating in the rights issue could also elect to receive Junior Minerals Exploration Incentive (JMEI) credits. The maximum possible JMEI credit entitlement that could be available is up to 30% of every A$1 spent.
The company noted that the actual number of JMEI credits to be received by each eligible shareholder would be dependent on a number of factors, including the total number of shares held, the actual amount of allowable exploration incurred during the period, and the individual shareholder’s financial circumstances.
Prodigy told shareholders that the funds raised will be used to accelerate exploration at the Tanami gold projects.