Alcyone raising falls nearly $9m short

Alcyone Resources has secured $7.4 million through a recent entitlements offer and shortfall placement, just scraping over the capital raising’s minimum subscription level of $6 million.

The Perth-based explorer had been seeking to raise up to $16.2 million from the rights issue, which was first announced at the end of May.

Patersons Securities acted as Alcyone’s corporate adviser and lead manager on the rights issue.

Alcyone said the funds would allow it to resume silver recoveries at its Twin Hills mine in south-east Queensland, with crushing operations having recommenced recently.

Operational improvements to the silver mine will lift output to over 1 million ounces.

Alcyone underwent a board overhaul in March with Paul D’Sylva joining the company as chairman following the resignation of managing director Andrew King.

The company’s shares last traded at 1.2 cents, on April 5.