Independence Group has completed a $118 million capital raising to fund construction and development at its part-owned Tropicana gold project.
The offer saw 29.6 million new shares sold to sophisticated and professional investors at a price of $4.00 per share.
Independence also plans to conduct a share purchase plan of up to $15,000 per eligible shareholder at $4.00 per share, to an overall cap of $30 million.
The capital raised will be used to ensure the company meets its expected construction and development funding requirements at its jointly-owned Tropicana gold mine north-east of Kalgoorlie, Independence said in a statement.
Macquarie Capital acted as global co-ordinator and bookrunner to the offer, while Macquarie and Euroz Securities acted as joint lead managers.
Independence managing director Christopher Bonwick said the offer would provide the company with flexibility to fund its growth strategy.
“We continue with the development of the world class Tropicana gold project which is on track to commence production in the second half of calendar-year 2013.”
Independence shares were down 37 cents to $3.98 at 9.36am WST today.
This follows a steady downward trend since Independence shares peaked at $4.77 on December 5.