(Sharecast News) - African focused precious metals outfit Cradle Arc has raised £396,000 to go towards complete repairs and improvements on its processing facilities at the Mowana copper mine
Cradle, whose brokers have conditionally placing of 44m new ordinary shares at a price of 0.90p, will use net proceeds of the placing would be used alongside the $2m loan facility provided to its 60% owned subsidiary Leboam Holdings by PenMin Botswana.
The AIM-listed firm assured investors that the previously seen intermittent breakdowns and interruptions, which it claimed were the key reasons for its inability to meet production targets during the third quarter, would no longer be an issue following the works.
Chief executive Kevin van Wouw, said: "We are delighted to have completed this fundraise; we are busy applying the funds from the loan facility to improve the process plant to complement the hard work that has gone into the rehabilitation of the pit.
We look forward to updating the market on our progress in the near future." As of 0920 BST, Cradle shares had sunk 18.33% to 0.98p.
Investors should be aware that past performance is not a reliable indicator of future results and that the price of shares and other investments, may fall as well as rise and the amount realised may be less than the original sum invested.
Walker Crips Group plc (Old Change House, 128 Queen Victoria Street, London EC4V 4BJ), registered in England, registered number 1432059, incorporates the following companies which are authorised and regulated by the Financial Conduct Authority: Walker Crips Investment Management Limited registered in England number 4774117 member of the London Stock Exchange, Walker Crips Wealth Management Limited registered in England number 3790291, Ebor Trustees Limited registered in England number 3514268, Barker Poland Asset Management LLP registered in England and Wales number OC341149.