The Company will offer eligible shareholders the opportunity to participate in the Plan by subscribing for up to $15,000 worth of fully paid ordinary shares in the Company (Shares) at an issue price of 0.8 cents per Share without having to pay brokerage or other transaction costs (Offer). This represents an 11.1% discount to the last traded closing price of the Company's Shares on the ASX on 9 October 2017 and a 15.4% discount to the volume weighted average price for the last 5 days on which sales in the shares were recorded prior to 10 October 2017.
The Company is seeking to raise up to $500,000 under the Offer through the issue of up to 62,500,000 Shares. However, should total demand exceed this amount, the Directors reserve the right to accept oversubscriptions (subject to the maximum number of Shares the Company can issue under the Offer, which is 30% of the Company's pre-Offer issued capital), or to scale-back applications in their absolute discretion. The Company intends to use the funds raised under the Offer to advance the high grade Topacio Gold Project in Nicaragua as well as for general working capital.
Participation in the Plan is optional, and is open to all shareholders who were registered as a holder of Shares as at 5.00pm (WST) on 9 October 2017 (Record Date) and whose registered address is in Australia or New Zealand.
Managing Director of Oro Verde, Mr Trevor Woolfe said:
"Our recent drilling has revealed some exciting high grade gold results from the Topacio project. This funding will allow us to advance the project with resource expansion drilling and additional target definition."
Timetable Event Date
Record Date 5.00pm (WST) on 9 October 2017 Dispatch of Offer document and Application Form to Eligible Shareholders 16 October 2017 Opening date for acceptances 9.00am (WST) 16 October 2017 Closing date for acceptances (Closing Date) 5.00pm (WST) on 31 October 2017 Allotment Date 6 November 2017 Dispatch of holding statements 7 November 2017
The timetable above is indicative only and subject to change. The Company reserves the right to change the timetable at any time or cancel the Offer at any time before the Allotment Date, subject to applicable regulatory requirements.
Full details of the Offer will be set out in a letter to shareholders, the Plan Terms and Conditions and an Application Form for Eligible Shareholders (Plan Documents). A copy of the Plan Documents will also be lodged with the ASX.
If you have any enquiries in relation to the Offer, please call the Company Secretary on +61 8 9481 2555.
To view the latest company presentation, please visit:
About Oro Verde Limited
Oro Verde Ltd (ASX:OVL) is a mineral exploration company focused on identifying and developing significant gold projects in Central America, particularly Nicaragua. Oro Verde holds an Option to Purchase Agreement to acquire 100% of the Topacio Gold Project in Nicaragua that contains a NI43-101 compliant Inferred Mineral Resource of 340,000 ounces of gold. Oro Verde also holds 100% of the early stage San Isidro Gold Project, also in Nicaragua, located adjacent to the 2.3 million ounce La India gold project.
Oro Verde Limited