Subscription

RNS Number : 0359M

Landore Resources Limited

12 September 2012

 



12 September 2012

Landore Resources Limited

("Landore" or the "Company")

Subscription

Landore, the Canadian mining explorer, today announces that it has agreed a subscription of 52,300,000 new ordinary shares of 1p each in the Company ("Subscription Shares") at a price of 5p per Subscription Share (the "Subscription") to raise £2.615 million before expenses. The proceeds from the Subscription will be used to finance working capital, in addition to exploration and drilling expenditures on the nickel deposits at the Junior Lake project in the Province of Ontario, Canada (the "Junior Lake Project"). The focus for the drilling will be on the western extension of the B4-7 deposit on the Junior Lake Project, known as the Scorpion Zone.

Panmure Gordon assisted the Company with the Subscription and has introduced new institutional investors.

The Subscription is conditional on admission of the Subscription Shares to trading on AIM.  Changes in discloseable interests are as set out below. 

Director	Subscription Shares Subscribed	Shareholding immediately following Admission	Percentage of enlarged issued share capital
William Humphries Richard Prickett Charles Wilkinson	6,000,000 506,040 400,000	29,710,000 6,945,899 1,254,047	8.6 2.0 0.4

The Subscription Shares will represent approximately 15.1% of the enlarged issued share capital of the Company.  The number of ordinary shares in issue following the Subscription, and the total number of voting rights, will be 346,623,825. The Subscription Shares will rank pari passu with existing ordinary shares of 1p each in the Company. Application will be made for admission of the Subscription Shares to trading on AIM, and is expected to take place on 18 September 2012.

The participation of certain of the Directors in the Subscription is deemed to be a related party transaction under the AIM Rules. The Directors consider, having consulted with Strand Hanson Limited, the Company's nominated adviser, that the terms of the Subscription are fair and reasonable insofar as the Company's shareholders are concerned.

Enquiries:

Bill Humphries / Richard Prickett

Landore Resources Limited

Tel: [phone]

Tel: [phone]

Adam Pollock / Katherine Roe

Panmure Gordon & Co.

Broker to the Placing

Tel: [phone]

Angela Hallett / James Spinney

Strand Hanson Limited

Nominated Adviser

Tel: [phone]

David Bick

Financial PR Tel: [phone]

 

END

 

 

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