$25m raising breathes life into Eastern Goldfields

After nearly eight years of inactivity on the ASX, Michael G Fotios’s Eastern Goldfields could be reinstated as early as next month after announcing today its capital raising had closed oversubscribed.

Eastern Goldfields’ offer to raise a maximum of $20 million was met with an additional $5 million in oversubscriptions, with the company accepting applications for 166.7 million shares at 15 cents each.

The offer was taken up by institutional and sophisticated investor clients of Hartleys, as well as other investors.

Hartleys managed the offer.

The company also announced today that it was progressing plans for the re-quotation of its securities on the ASX, and hoped to begin trading by March 24.

Eastern Goldfields chairman Michael Fotios said the success of the offer was a tremendous result for the the company.

“It will provide great impetus in Eastern’s application to have its shares successfully re-quoted on the ASX in the coming weeks, after a number of years in suspension,” he said.

“The capital raising is also a significant milestone towards re-commencing gold production at the Davyhurst project, and is a strong signal of support for both the asset and in the Eastern team.

“We look forward to an exciting 2016 for Eastern and its shareholders.

Eastern shares have been suspended from trade since June 2008.