Gold producer Pantoro raising up to $50m

The raising will see shares sold at 24c each, a discount of 5.9 per cent of Pantoro’s last closing of $0.255 a share, with 187.5 million shares on offer.

West Australian gold producer Pantoro is raising up to $50m through Argonaut Securities and Tamesis Partners.

The $300m company, which listed in 2006, has seen its share price more than treble from a February low of $.08 a share on the back of a strong global gold price and positive developments at its recently acquired Norseman gold project, of which it owns half alongside Norseman Gold PLC.

The raising will see shares sold at 24c each, a discount of 5.9 per cent of Pantoro’s last closing of $0.255 a share, with 187.5 million shares on offer.

The funds will be used for exploration and development of its Norseman Gold Project.

A non-underwritten share purchase plan will also be offered to eligible shareholders to raise up to $5 million at the offer price in addition to a $45m placement.

The raising comes after Pantoro announced changes to its board, with Fiona Van Maanen replacing Michael Jefferies as independent non-executive director.

The results of the placement will be announced on Friday, with an anticipated settlement date of August 14.