The information contained within this
announcement is deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU)
No. 596/2014 ("MAR"). With the publication of this announcement via
a Regulatory Information Service, this inside information is now
considered to be in the public domain.
11 June 2018
Karelian Diamond
Resources plc (the “Company”)
CAPITAL
RAISING
TOTAL VOTING
RIGHTS
Placing and
subscription to raise £500,000 (€569,390)
•
Placing and subscription for a total of 11,111,111
new ordinary shares at 4.5 pence
per share to raise £500,000 (€569,390) before expenses and issue
of 388,889 Broker Warrants
• The
proceeds will be applied primarily for exploration drilling
programmes and the advancement of the Company’s diamond projects
and for other general working capital
Karelian Diamond Resources plc (AIM: KDR), the diamond
exploration company focused on Finland, is pleased to announce that it has
conditionally raised £500,000 (€569,390), prior to expenses,
through a placing and subscription (the “Placing”) of a total of
11,111,111 new ordinary shares of €0.00025 in the capital of
the Company (the “Placing Shares”), at a price of 4.5 pence per Placing Share (the “Placing
Price”).
The Placing is conditional, inter alia, on admission of
the Placing Shares to trading on AIM. The Placing Shares will
rank pari passu with the existing issued ordinary shares of
€0.00025 in the capital of the Company (“Ordinary
Shares”).
Use of Proceeds
The Company intends to use the proceeds of the Placing to fund
the further advancement of the Company’s principal diamond
opportunities including:
- Drilling to discover the source of the green diamond recently
discovered in a till sample at Kuhmo
- Drilling of the Riihivaarä kimberlite which the Company has
also recently discovered to test for micro diamonds;
- Micro diamond test work on drill core from the recently
acquired Lahtojoki Diamond deposit;
- Undertake further till sampling to explore for diamond
potential adjacent to the Lahtojoki diamond deposit; and
- initiate environmental studies and for working capital
generally.
Directors participation
As part of the Placing, certain of the Directors have agreed to
subscribe for an aggregate of 2,222,222 Placing Shares. The
Directors’ participation in the Placing and their resultant
shareholding following admission of the Placing Shares to trading
(“Admission”) is as follows:
Director |
Placing participation |
Placing Shares
subscribed for |
Resultant Shareholding |
Percentage interest
in the enlarged issued share capital |
|
£ |
No. |
No. |
|
Professor Richard Conroy* |
25,000 |
555,556 |
5,338,912 |
15.48 |
Maureen Jones |
5,000 |
111,111 |
639,990 |
1.86 |
Séamus FitzPatrick |
20,000 |
444,444 |
481,341 |
1.40 |
Dr Sor?a Conroy |
50,000 |
1,111,111 |
1,129,911 |
3.28 |
|
|
|
|
|
|
|
|
|
|
|
100,000 |
2,222,222 |
7,590,154 |
22.01 |
* Of the 5,338,912 Ordinary Shares beneficially held by
Professor Richard Conroy, 1,232,601
are held by Conroy Plc a company in which Professor Conroy has a
controlling interest.
The participation of Professor Richard
Conroy, Maureen Jones, Séamus
FitzPatrick and Dr Sor?a Conroy in the Placing is a related party
transaction pursuant to Rule 13 of the AIM Rules for Companies. The
independent director of the Company (being Louis Maguire), having consulted with the
Company’s Nominated Adviser, consider the terms of the Placing to
be fair and reasonable insofar as the Shareholders are
concerned.
Admission to AIM
Application has been made to AIM for the Placing Shares to be
admitted to trading. It is expected that admission will
become effective on 15 June 2018.
Following the issue of the Placing Shares, and for the purposes
of the Disclosure and Transparency Rules, the Company's total
issued share capital on Admission will consist of 34,489,178
Ordinary Shares.
The above figure may be used by shareholders as the denominator
for the calculations by which they will determine if they are
required to notify their interest in, or a change to their interest
in, the Company, under the Disclosure and Transparency Rules.
In conjunction with the Placing the Company is issuing 388,889
Broker Warrants, which are exercisable at the Placing Price until
11 December 2020, to Brandon
Hill.
Professor Richard Conroy, Chairman, Karelian Diamond
Resources plc commented:
“We are pleased to be able to fund an
additional drilling programme and undertake further exploration
work at Kuhmo. Following the recent discovery of the green diamond
in the till sample at Kuhmo we are very enthusiastic about the
opportunities for the Company and look forward to updating
shareholders in due course. Moreover, the Board of the Company are
contributing to the placing and the Company thanks them for their
support. ”
Further Information:
Professor Richard
Conroy, Chairman, Karelian Diamond Resources plc |
Tel: +353-1-479-6180 |
Virginia Bull /
Nick Harriss, Allenby Capital Limited (Nomad) |
Tel: +44-20-3328-5656 |
Jonathan Evans,
Brandon Hill Capital |
Tel: +44-20-3463-5000 |
Michael Padley,
Lothbury Financial Services |
Tel: +44-20-3290-0707 |
Don Hall, Hall
Communications |
Tel: +353-1-660-9377 |
http://www.kareliandiamondresources.com
This announcement contains inside information for the purposes
of Article 7 of the Market Abuse Regulation (EU) No 596/2014. The
information set out below is provided in accordance with the
requirements of Article 19(3) of that Regulation.
1 |
Details of the person discharging managerial responsibilities/person
closely associated |
a) |
Name |
Professor Richard
Thomas Walter Lawrence Conroy |
2 |
Reason for the notification |
a) |
Position/status |
Director of the
Company |
b) |
Initial notification /Amendment |
Initial
notification |
3 |
Details
of the issuer, emission allowance market participant, auction
platform, auctioneer or auction monitor |
a) |
Name |
Karelian Diamond
Resources plc |
b) |
LEI |
N/A |
4 |
Details of the transaction(s): section to be repeated for (i) each type of
instrument; (ii) each type of transaction; (iii) each date; and (iv) each place
where transactions have been conducted |
a) |
Description of the financial instrument, type of
instrument
|
Ordinary Shares of
€0.00025 each (“Ordinary Shares”) |
Identification code |
ISIN for
Karelian Diamond Resources plc Ordinary Shares:
IE00BD09HK61 |
b) |
Nature of the transaction |
Purchase of shares via
a placing |
c) |
Price(s) and volume(s) |
Price –
4.5 pence per ordinary share
Volume – 555,556 Ordinary Shares |
d) |
Aggregated information
- Aggregated volume
- Price |
N/A |
e) |
Date of the
transaction |
11 June 2018 |
f) |
Place of the
transaction |
Outside a trading
venue |
1 |
Details of the person discharging managerial responsibilities/person
closely associated |
a) |
Name |
Maureen Theresa Anne
Jones |
2 |
Reason for the notification |
a) |
Position/status |
Director of the
Company |
b) |
Initial notification /Amendment |
Initial
notification |
3 |
Details
of the issuer, emission allowance market participant, auction
platform, auctioneer or auction monitor |
a) |
Name |
Karelian Diamond
Resources plc |
b) |
LEI |
N/A |
4 |
Details of the transaction(s): section to be repeated for (i) each type of
instrument; (ii) each type of transaction; (iii) each date; and (iv) each place
where transactions have been conducted |
a) |
Description of the financial instrument, type of
instrument
|
Ordinary Shares of
€0.00025 each (“Ordinary Shares”) |
Identification code |
ISIN for
Karelian Diamond Resources plc Ordinary Shares:
IE00BD09HK61 |
b) |
Nature of the transaction |
Purchase of shares via
a placing |
c) |
Price(s) and volume(s) |
Price –
4.5 pence per ordinary share
Volume – 111,111 Ordinary Shares |
d) |
Aggregated information
- Aggregated volume
- Price |
N/A |
e) |
Date of the
transaction |
11 June 2018 |
f) |
Place of the
transaction |
Outside a trading
venue |
1 |
Details of the person discharging managerial responsibilities/person
closely associated |
a) |
Name |
Séamus Philip
FitzPatrick |
2 |
Reason for the notification |
a) |
Position/status |
Director of the
Company |
b) |
Initial notification /Amendment |
Initial
notification |
3 |
Details
of the issuer, emission allowance market participant, auction
platform, auctioneer or auction monitor |
a) |
Name |
Karelian Diamond
Resources plc |
b) |
LEI |
N/A |
4 |
Details of the transaction(s): section to be repeated for (i) each type of
instrument; (ii) each type of transaction; (iii) each date; and (iv) each place
where transactions have been conducted |
a) |
Description of the financial instrument, type of
instrument
|
Ordinary Shares of
€0.00025 each (“Ordinary Shares”) |
Identification code |
ISIN for
Karelian Diamond Resources plc Ordinary Shares:
IE00BD09HK61 |
b) |
Nature of the transaction |
Purchase of shares via
a placing |
c) |
Price(s) and volume(s) |
Price –
4.5 pence per ordinary share
Volume – 444,444 Ordinary Shares |
d) |
Aggregated information
- Aggregated volume
- Price |
N/A |
e) |
Date of the
transaction |
11 June 2018 |
f) |
Place of the
transaction |
Outside a trading
venue |
1 |
Details of the person discharging managerial responsibilities/person
closely associated |
a) |
Name |
Dr Sor?a
Catriona Conroy |
2 |
Reason for the notification |
a) |
Position/status |
Director of the
Company |
b) |
Initial notification /Amendment |
Initial
notification |
3 |
Details
of the issuer, emission allowance market participant, auction
platform, auctioneer or auction monitor |
a) |
Name |
Karelian Diamond
Resources plc |
b) |
LEI |
N/A |
4 |
Details of the transaction(s): section to be repeated for (i) each type of
instrument; (ii) each type of transaction; (iii) each date; and (iv) each place
where transactions have been conducted |
a) |
Description of the financial instrument, type of
instrument
|
Ordinary Shares of
€0.00025 each (“Ordinary Shares”) |
Identification code |
ISIN for
Karelian Diamond Resources plc Ordinary Shares:
IE00BD09HK61 |
b) |
Nature of the transaction |
Purchase of shares via
a placing |
c) |
Price(s) and volume(s) |
Price –
4.5 pence per ordinary share
Volume – 1,111,111 Ordinary Shares |
d) |
Aggregated information
- Aggregated volume
- Price |
N/A |
e) |
Date of the
transaction |
11 June 2018 |
f) |
Place of the
transaction |
Outside a trading
venue |