Mkango to Raise GBP1 Million, List on London Stock Exchange

Mkango Resources (TSXV:MKA) has proposed to raise gross proceeds of GBP1 million in conjunction with a listing on the London Stock Exchange’s Alternative Investment Market (AIM).
As quoted in the press release:

In conjunction with and subject to successful completion of both the Placing and admission to AIM, the Corporation proposes to undertake a three to one consolidation (the “Consolidation“) on the basis of three (3) pre-Consolidation shares for one (1) post-Consolidation share. The Consolidation would have the effect of reducing the number of shares outstanding prior to the Placing from 121,256,956 to 40,418,985.
Under the terms of the Placing, the Corporation will issue 30,303,030 post-Consolidation units (the “Units”) at a post-Consolidation price of 3.3 pence per Unit.
Each Unit will consist of one common share of the Corporation (a “Common Share“) and one Common Share purchase warrant (a “Warrant“). Each whole Warrant will entitle the holder to acquire one Common Share at a price of 6.6 pence for a period of 3 years following the closing date of the Placing.
If the closing price of the Common Shares on AIM exceeds 19.8 pence for at least 20 consecutive trading days following the date that is four months after the date of issuance of the Warrants, the Corporation shall have the right, exercisable within three business days thereafter, to accelerate the expiry of the Warrants to 20 business days after the issuance of a news release announcing the new expiry date.
The expected proceeds of the Placing will provide the Corporation with sufficient working capital for a period of one and a half years from completion of the Placing.

Click here for the full press release.