Base metals miner New Century has reported the strong uptake by shareholders of its entitlement offer, raising the full A$14.4-million offer amount.
The 1 for 12 prorate nonrenounceable entitlement offer closed on November 24, with eligible shareholders applying for 78 637 783 new fully paid ordinary shares, worth A$12.2-million. This represents an approximate 85% take-up rate for entitlements by shareholders.
The offer shortfall was 14 046 824 new shares, of which 13 173 272 were allotted to major shareholder and hedge fund Luminus Management under a priority shortfall allocation.
The remaining shortfall, of 873 552 shares, has been allotted to the underwriters of the entitlement offer.
New Century said that it had received a large amount of oversubscription applications from eligible shareholders, totalling about A$18-million worth of new shares over and above the entitlement offer. The company had elected not to take any oversubscriptions.