Giyani to raise funds

19th May 2020

By: Tasneem Bulbulia

Senior Contributing Editor Online

     

Font size: - +

TSX-listed Giyani Metals is undertaking a nonbrokered private placement of units to raise up to $1.2-million in immediately available new funding.

Moreover, certain of the shares for debt transactions originally announced on May 6 have been approved by the TSX-Venture Exchange and have now closed.

The company announced a nonbrokered private placement of $0.08 a unit to accredited investors and other exempt buyers, with each unit comprising one common share and one half of one common share purchase warrant.

Each whole warrant will entitle the holder to buy one common share at an exercise price of $0.10 apiece for a period of three years from the closing of the private placement.

Giyani has received subscription agreements totalling $1.1-million. This includes a lead subscription on behalf of RAB Capital Holdings for 11-million units for a total subscription of $880 000.

The company has also entered into a conditional board representation agreement under which, following closing, and provided this subscriber maintains at least a 10% shareholding, it shall be entitled to have appointed or elected one director to the board of the company.

The agreement also provides that, following closing, Giyani will consult with and obtain the consent of RAB Capital, which is not to be unreasonably withheld, to certain equity security issuances in the following 13 months, subject to customary carve-outs.

"The completion of the recently announced shares for debt programme allows us to direct the cash proceeds from this financing to meet our obligations associated with the completion of the K.Hill project feasibility study.

"We are delighted to have already received subscription agreements for $1.1-million and we thank RAB Capital, who will be taking their shareholding to over 10%, for their support,” says Giyani CEO Robin Birchall.

Giyani’s flagship K.Hill prospect in Botswana is a near-surface manganese oxide deposit currently going through a feasibility study to produce high-purity electrolytic manganese metal, a key product needed for batteries in the expanding electric vehicle market.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

The content you are trying to access is only available to subscribers.

If you are already a subscriber, you can Login Here.

If you are not a subscriber, you can subscribe now, by selecting one of the below options.

For more information or assistance, please contact us at subscriptions@creamermedia.co.za.

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION