Cyprium Metals Ltd (ASX:CYM, OTC:CYPMF) has resumed trading on the ASX today after completing a $31.6 million capital raise.
The company entered a trading halt on February 21 to assess alternative funding arrangements for the restart of its Nifty Copper Project in Western Australia after its original funding plans fell through. Prior to entering the halt, Cyprium last traded at 11 cents per share.
Today’s resumption of trading follows the completion of the capital raise earlier this week and the completion of a $21 million (US$14.5 million) bridging facility last quarter.
The capital raise comprised a share placement to sophisticated and institutional investors that raised $24 million at a price of $0.04 per share, plus a $5 million entitlement offer that closed oversubscribed to raise $7.6 million.
The successful raise is a strong endorsement from shareholders for the company’s strategy to restart the Nifty Copper Mine in WA as a long-life large-scale open pit mine.
"Appreciative of strong support"
Cyprium's newly appointed managing director Clive Donner said, “The board is very pleased that the company’s securities have resumed trading on the ASX.
"We are appreciative of the strong support we have received from our shareholders, including new institutional investors from the recently completed oversubscribed equity raising.
“The $31.6 million equity raising and US$14.5 million bridging facility provide the company with the capital to advance the Nifty technical studies and finalise an appropriate development funding package next year.
"This enables the delivery and execution of our strategy to restart the Nifty Project as a larger scale open pit copper operation,” he added.