Equity group boosts MZI stake

MZI Resources has completed a $5 million equity raising, with international private equity group Resource Capital Fund boosting its stake in MZI to just less than 15 per cent.

RCF subscribed for $1.79 million of a placement worth just more than $4 million at 1.3 cents per share. 

A further $960,000 was raised through a share purchase plan.

Argonaut was lead manager to the placement with Foster Stockbroking acting as co-manager.

MZI said the funds would allow the company to finalise the debt funding process for the company's Keysbrook mineral sands project.

RCF last month agreed to provide MZI with $US41.5 million in funding towards development at Keysbrook.

RCF emerged as MZI's largest shareholder earlier this year after purchasing $3 million worth of the company's shares.