22/11/2010 - 10:51

Conquest doubles SPP to $10m

22/11/2010 - 10:51

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Conquest Mining has double the size of its Share Purchase Plan to $10 million after the offer was heavily oversubscribed.

Conquest doubles SPP to $10m

Conquest Mining has double the size of its Share Purchase Plan to $10 million after the offer was heavily oversubscribed.

Conquest said the SPP closed on November 15, having received more than 1,000 applications to purchase additional shares to a total value of $17.6 million.

"The original intention of the SPP was to raise $5.0 million however given the overwhelming level of support the Directors of Conquest have resolved to increase the SPP fund raising to $10.0 million," Conquest said in a statement to the Australian Securities Exchange.

"This increase remains well within the regulatory cap of 30 per cent of shares on issue at the time an SPP offer is made."

"The level of demand for the SPP from shareholders was well beyond our expectations," said Conquest executive chairman Jake Klein.

"We are delighted with the response and thank all of our shareholders who chose to participate in the SPP for their support."

Conquest also said that under the increased amount, allocations will need to be scale back.

All applications will be allocated 56.80 per cent of their application amount under the SPP and excess funds will be refunded.

 

 

See company statement below:

Conquest Mining (ASX: CQT) is pleased to announce that its Share Purchase Plan ("SPP") closed on 15 November 2010 significantly oversubscribed, receiving more than 1,000 applications to purchase additional shares to a total value of $17.6 million.

The original intention of the SPP was to raise $5.0 million however given the overwhelming level of support the Directors of Conquest have resolved to increase the SPP fund raising to $10.0 million.

This increase remains well within the regulatory cap of 30% of shares on issue at the time an SPP offer is made.

Commenting on the success of the SPP, Conquest Executive Chairman Jake Klein said: "The level of demand for the SPP from shareholders was well beyond our expectations. We are delighted with the response and thank all of our shareholders who chose to participate in the SPP for their support."

Even under the increased amount, allocations will need to be scaled back. As described in the SPP terms, the scale-back will apply to all applications on an equal basis. All applicants will be allocated 56.80% of their application amount under the SPP and excess funds will be refunded, As part of the scale-back process, Conquest strictly reviewed all applications and excluded multiple applications totalling more than $15,000 as per the SPP terms and conditions. Where Conquest determined that a single shareholder made multiple applications, the shareholder will receive a refund in respect of those additional applications.
The expected timetable for completion of the SPP is:
New shares allotted Tuesday 23 November 2010
Quotation on ASX Thursday 25 November 2010
Holding statements and refunds dispatched Thursday 25 November 2010
New shares issued under the SPP will rank equally with existing shares.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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