Issue of Equity

RNS Number : 7619H

Kibo Mining Plc

02 June 2011

 

KIBO MINING PLC

Issue of Equity

Dated: 2 June 2011

Kibo Mining plc ("Kibo" or the "Company") (AIM, KIBO: JSE, KBO) the mineral exploration and development company focused on gold and nickel projects in Tanzania today successfully raised a total of R12,002,200 (approximately £1,000,000) by way of a placing of a total of 36,370,303 new Ordinary Shares of €0.01 each in the capital of the Company (the "Placing") to South African sophisticated clients of River Group, the Company's Designated Advisers in South Africa

Commenting today, Noel O'Keeffe, CEO of Kibo said:

"This Placing is the final requirement of our Agreement with Mzuri Gold Limited dated 30 December 2010 and provides a strong indication of South African investor confidence in the Company following its dual listing on AltX on the JSE earlier this week. These funds will be used to fund on-going exploration on our Tanzanian projects during the months ahead and I am confident of a successful outcome from our field programmes this year"

The Placing is conditional on the 36,370,303 new Ordinary Shares of €0.01 each in the capital of the Company (the "Placing Shares") being admitted to trading on AIM and the JSE.

Mzuri Gold Limited ("Mzuri") has, under the terms of the Mzuri Underwriting, agreed to subscribe for 6,060,606 Placing Shares at ZAR 0.33 cents per Placing Share. Following the subscription, Mzuri will hold 79,393,940 Ordinary Shares, which is approximately 21.02% of the issued share capital of the Company as enlarged by the Placing.

An application will be made to the London Stock Exchange and JSE for the Placing Shares, which will rank pari passu with the Company's existing issued Ordinary Shares, to be admitted to trading and dealings are expected to commence at 8:00 a.m. (BST) on Wednesday 8 June 2011.

Following the issue of the Placing Shares the Company's total issued share capital will be 377,629,511 Ordinary Shares of €0.01 each. In accordance with the Financial Services Authority Disclosure and Transparency Rules, the Company has 377,629,511Ordinary Shares of €0.01 each in issue, each share carrying the right to one vote. The Company does not hold any Ordinary Shares in Treasury.

The above figure of 377,629,511 Ordinary Shares may be used by Shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Service Authority's Disclosure and Transparency Rules.

Enquiries:

Noel O'Keeffe	[phone]	Kibo Mining plc	Chief Executive Officer
John Simpson	020 7776 6550	Daniel Stewart & Company Plc	Nominated Adviser
Andrew Lianos	[phone]	River Group	Designated Adviser - JSE
Fiona Kinghorn	020 7448 9820	Alexander David Securities Limited	Joint Broker
Anthony Kluk	020 7628 1128	Loeb Aron & Company Limited	Joint Broker

Updates on the Company's activities are regularly posted on its website www.kibomining.com

 

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