Chaarat Gold completes first phase of $100m fundraiser

28th Aug 2018 09:05

(Sharecast News) - AIM-quoted exploration and development company Chaarat Gold has completed the first phase of its $100m fundraiser with existing and new investors.Chaarat issued secured convertible notes with a conversion price of 37p per share after receiving strong support from its long-term convertible investors.The first round of Chaarat's fundraiser was aimed at refinancing its existing bonds and has resulted in irrevocable commitments totalling $26m from holders of existing notes and "a select few new investors".Chaarat now intends to raise additional growth capital in a second fundraising round in late September 2018 to help fund its acquisition of a medium-sized polymetallic asset in the Commonwealth of Independent States.Artem Volynets, chief executive, said: "This first round of fundraising is a clear expression of confidence in Chaarat's management and growth strategy.""The first asset we are acquiring will be an excellent addition to Chaarat's portfolio and accelerates our strategic aim of building a leading emerging markets gold company. It turns the company cashflow-generative in a single step, and demonstrates Chaarat Gold's ability to execute deals quickly, diligently and on accretive terms," added Volynets.As of 0900 BST, Chaarat shares were untraded at 24.15p.