Fairstar looks to raise $2.5m

Osborne Park-based Fairstar Resources Ltd, which is in the midst of a hostile takeover bid for Golden West Resources Ltd, had announced plans to raise $2.5 million in new equity.

Fairstar is set to place up to 12.5 million ordinary shares at 20 cents each with investors to raise $2.5 million for working capital.

The placement will also come with 1 free attaching option for every share issued, exercisable on or before August 30 next year at 25 cents each.

The gold and uranium explorer has also announced the resignation of director and company secretary, Ken Allen, who is leaving the company to focus on his new role as managing director of newly-listed Nex Metals Exploration Ltd.

In other news, the company has welcomed corporate advisor Vaz Hovanessian as a non-executive director effective March 15 and Hayes Knight (WA) Pty Ltd director Alan Thomas as company secretary, effective immediately.