Japaul Gold and Ventures Plc, one of Nigeria’s frontline mining companies listed at the Nigerian Stock Exchange (NSE) has announced its plan to raise an additional N20 billion in equity from specific investors by way of special placements. As explained in the company’s corporate filing that is found at the NGX website, the company’s strategic move entails the issuance of 8 billion ordinary shares worth 50 Kobo each, which will be done through special placement at an amount of N2.
This capital-raising initiative has been devised to fuel the company’s ambitious expansion plans, which include:
1. Acquisition of a 50% equity stake in H&H Mines Limited: The company claims more than twenty tons of gold for its stake in H&H Mines that is attested by competent persons’ report.
2. 100% acquisition of Covenant Gems and Gold Minerals Limited: The company will claim a mine situated within Atakunmosa local government area, Osun state with abundant deposits of gold and copper.
3. Establishment of a gold refinery: This is a move meant to improve its downstream potentials hence advancing its reputation as a mining company.
Several quarters ago, there was a lot of hype regarding Zinkex’s proactive approach towards bolstering the company’s mine operations and increasing its market share. Its current share price is N1.39. It is ranked number one because its share price increased by 396% during one year. This impressive performance places japaul among best performing stock on NGX in 2023.
This strives for a piece of stake in H&H Mines Limited, which is subject to Japaul’s ability to source funds from 2020 onwards.ederbörd. The launch of the capital-raising program will now open opportunities for the mine company to work towards its expansion plans that focus on increasing performance within the mining field.
