LONDON - URA Holdings PLC has successfully raised £1 million through a share issuance to revive the Gravellotte mine in South Africa's Limpopo province. The company announced today that it issued 80 million shares at a price of 1.25 pence each. Chairperson Ed Nealon expressed gratitude to investors for their support amidst market challenges and detailed the intended use of the funds for refurbishing the site and covering general working capital needs.
With plans to restart operations in the first quarter of 2024, the Gravellotte mine is on track for its inaugural emerald production since URA Holdings acquired it in February this year. Under the leadership of CEO Dr. Bernard Olivier, the company is concentrating efforts on completing the commissioning of the plant, marking a significant milestone for what was once a primary source of emeralds from 1929 to 2002.
Despite the successful bookbuild, which was led by Capital Plus and Peterhouse Capital and saw directors including Chair Nealon purchasing 11.1 million shares, URA Holdings experienced a notable drop in its share price. Today, shares fell to 1.28 pence—a sharp daily decrease of 22%, contributing to an overall modest annual decline of 1.6%. This fluctuation has impacted URA's market valuation, which currently stands at £2.2 million (GBP1 = USD0.7975).
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