THE BOURSE WHISPERER: Potash West (ASX: PWN) finalised a successful capital raising of $2.9 million.
The raising, which was conducted through Lead Manager, Helmsec Global Capital, was initially looking to $2.5 million but was oversubscribed with firm commitments from a number of institutional investors.
Proceeds of the placement will be directed to ongoing project development activities at the company’s world-class Dandaragan Trough projects, close to Perth in Western Australia, and to its Kullestedt potash project in Central Germany.
“We are very pleased with the overwhelming support received for this capital raising, particularly in these challenging times for the junior resource sector,” Potash West managing director Pat McManus said in the company’s announcement to the Australian Securities Exchange.
“We will now look to progress the permitting and resource reporting on our prospective German projects and to accelerate the progress on our major glauconite deposits in the Dandaragan Trough north of Perth, Western Australia.”
Under the placement the company will issue 58 million fully paid ordinary shares to new and existing shareholders.