Highlights
- Bass has received firm commitments for a strategic capital raising of A$2.275m via corporate advisors Bizzell Capital Partners.
- The amended agreement with Stratmin Global Resources Plc (“Stratmin”) delivers a A$10m reduction in future milestone payment obligations to Stratmin reducing the overall final price that Bass will pay for the operating Graphmada graphite mine from ~A$15m to just ~A$5m.
- The strategic capital raising will allow Bass to facilitate the revised transaction with Stratmin and allow Bass to continue to progress with its production optimisation plans at the Graphmada graphite mine, which remain on time and on budget.
- Bass’ corporate advisor, Bizzell Capital Partners, has also arranged for the placement of Stratmin’s remaining shareholding in Bass (70m shares) to a number of existing Bass shareholders including all directors and key management, removing perceived market overhang of their stock.
The Board and Management of Bass Metals Ltd (ASX:BSM) (“Bass” or “the Company”) are pleased to advise that further to the ASX announcement of 15 December 2016, they have received firm commitments for a A$2.275m strategic capital raising, to pay out at a material discount its future purchase obligations to Stratmin Global Resources PLC (“Stratmin”) and to provide ongoing funding for the Company’s production optimisation program at the Graphmada graphite mine.
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