Aston Minerals chases $7m; Evolution Capital on the ticket

afr.com:

Nickel-cobalt and gold explorer Aston Minerals is seeking to restock its funding warchest with a $7 million placement via Evolution Capital on Thursday.

Aston has both a nickel resource and a gold resource. Trevor Collens

The group’s shares went into a trading halt as the stockbroker started drumming up bids at 6¢ a share, which was a 7.7 per cent discount to the last close.

The deal was structured as one free attaching option for every two placement shares subscribed for, exercisable at 9¢, expiring two years from issue. The company directors will subscribe for $1.175 million under the offer.

Funds raised would be used for Aston Minerals’ drilling program in Canada at the Boomerang and Edleston deposits, as well as for metallurgical test work and general working capital.

Evolution Capital has been appointed lead manager and Red Cloud Securities as the Canadian distribution agent.

Aston Minerals had a $72 million market capitalisation prior to Thursday’s placement. Bids are due by 12 pm on Friday.