Home Sports Strickland Metals (ASX:STK) share buyback plan falls short of $1.8m – The...

Strickland Metals (ASX:STK) share buyback plan falls short of $1.8m – The Market Herald

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  • Strickland Metals ( STK ) is raising $1.23 million of a planned $3 million through a share purchase plan, which is just under $1.8 million.
  • The company will now launch a shortfall offering to private investors to raise an additional $1.78 million
  • These new funds will add to Strickland’s $4 million already raised from a recently completed equity offering
  • The company says it will use the cash for future drilling at its Millrose Gold project and the Mohawk discovery in Washington
  • Strickland Metals shares fell 7.55 percent to 4.9 cents at 10:51 a.m. EST

Strickland Metals ( STK ) raised $1.23 million of a planned $3 million through a share purchase plan, representing a shortfall of just under $1.8 million.

The company will now raise another $1.78 million in shortfall by issuing 35.5 million shares to private investors at five cents a share.

These new funds will add to the $4 million Strickland has already raised from the recently completed project placement of shares.

The SPP offered eligible shareholders the opportunity to subscribe for up to $30,000 worth of shares at the same offering price.

JP Equities acted as the lead manager for the capital increase and will now seek permission to issue the minority shares at the forthcoming general meeting of shareholders.

The finance company said it will use the increased financing for future drilling at its Millrose Gold project in Washington.

This includes targeting to extend the length and depth, parallel trends of the main identified shear zone and further define the mineralization.

In addition, the funds will be used for follow-up reverse circulation (RC) drilling at the Strickland Iroquois discovery in Washington and for working capital.

Strickland Metals shares fell 7.55 percent to 4.9 cents at 10:51 a.m. ET.

https://themarketherald.com.au/strickland-metals-asxstk-share-purchase-plan-falls-short-by-1-8m-2022-09-16/

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