- Issues 78,125K new ordinary shares of 0.25p each at a placing price of 0.32p per share
- Says it anticipates approval of its (EIA) by the end of August 2024
- BOD is known for its extensive exploration licences in Botswana and SA
GAZETTE REPORTER
Botswana Diamonds PLC (BOD) has announced a successful fundraising effort, securing £250,000 through a placing and subscription with both existing and new investors.
According to a statement released this week, the prominent diamond exploration and project development company has issued 78,125,000 new ordinary shares of 0.25p each at a placing price of 0.32p per share.
Each share issued as part of the fundraising effort comes with a share purchase warrant, allowing the holder to subscribe for an additional new ordinary share at a price of 0.5p.
Trading on AIM
These warrants are set to expire two years from 7 August 2024, which is the expected date of issuance. “The placing shares will rank pari passu with the company’s existing ordinary shares,” Botswana Diamonds said in the statement.
“Application will be made for the placing shares to be admitted to trading on AIM, and it is expected that such admission will become effective on or around August 12, 2024.”
Botswana Diamonds has earmarked the proceeds from this fundraising to further its exploration activities in Botswana and South Africa. The company emphasised that these exploration efforts are ongoing and form a critical part of its strategic objectives for the current year.
Much-needed working capital
Additionally, the funds will provide much-needed working capital to support the company’s operations.
The company said it is also anticipating the approval of its Environmental Impact Assessment (EIA) by the end of August 2024. This approval is crucial as it will enable Botswana Diamonds to commence drilling on three Sekaka minerals anomalies near its significant KX36 discovery.
The KX36 discovery has been a focal point of the company’s exploration efforts, and further drilling could provide valuable insights into the area’s potential.
Voting rights
In compliance with the Financial Conduct Authority’s (FCA) Disclosure Guidance and Transparency Rules, Botswana Diamonds has provided an update on its total voting rights following the issuance of the placing shares.
The company now has 1,198,002,899 ordinary shares in circulation, each carrying one vote. Botswana Diamonds confirmed that it does not hold any shares in treasury. “The total number of ordinary shares in the company with voting rights is 1,198,002,899,” it noted.
“This figure may be used by shareholders as the denominator for calculations to determine if they are required to notify their interest in, or any change to their interest in, the company under the FCA’s Disclosure and Transparency Rules.”
Potential breakthroughs
Botswana Diamonds PLC, listed on AIM (Ticker: BOD) and the Botswana Stock Exchange, is known for its extensive exploration licences in Botswana and South Africa.
The company boasts a seasoned team with a successful track record of diamond discovery. Its ongoing projects in the region have attracted significant interest from investors, underscoring the potential of the company’s assets and the expertise of its management team.
The company’s latest fundraising effort reflects its commitment to advancing its exploration projects, positioning itself as a key player in the diamond exploration sector in Southern Africa.
With the anticipated EIA approval and the commencement of new drilling activities, Botswana Diamonds is poised for potential breakthroughs that could further solidify its standing in the industry.