REG - Caledonia Mining Crp - Results of Zimbabwe Placing

Caledonia MiningAnnouncement

11/04/2023 07:00

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RNS Number : 7229V  Caledonia Mining Corporation PLC  11 April 2023

Caledonia Mining Corporation Plc

Result of Zimbabwe Placing

and

Issue of Deferred Shares

 

(NYSE AMERICAN: CMCL; AIM: CMCL; VFEX: CMCL)

 

St Helier, April 11, 2023 - Caledonia Mining Corporation Plc ("Caledonia" or
the "Company") today announces both the results of the Zimbabwe Placing, and
also the issue of the deferred shares in relation to the Company's acquisition
of Bilboes Gold Limited.

 

Result of Zimbabwe Placing

 

Caledonia is pleased to announce that, further to the announcements made on
March 24, 2023 and March 31, 2023, the Zimbabwe Placing has now closed and has
raised approximately US$5.825 million before expenses. The Zimbabwe Placing
received strong support from new and existing institutional investors. A total
of 423,951 ZDRs have been placed at the Placing Price of $13.74 each. IH
Securities (Private) Limited acted as broker in relation to the Zimbabwe
Placing.

 

As a reminder, a total of 781,749 Placing Shares were admitted to trading on
AIM on March 30, 2023 following a placing with domestic and international
institutional and sophisticated investors at the Placing Price by Cenkos,
Liberum, and Standard Bank acting as joint bookrunners in relation to the
Placing. Therefore, in total including the aforementioned ZDRs, a total of
1,205,700 common shares have been placed in the form of depositary interests
and ZDRs and the Fundraise has raised in total approximately US$16.566 million
before expenses.

 

The net proceeds of the Fundraise, together with the Company's existing cash
reserves and the future cash to be generated from its ownership of the
producing and cash generative Blanket Mine and from the Bilboes oxide
operation, will strengthen the Company's balance sheet and provide the Company
with working capital flexibility to accelerate planned work at the three new
gold projects it is currently undertaking in Zimbabwe.

 

Issue of Deferred Shares

 

Further to the announcement by Caledonia on January 6, 2023 relating to the
Company's acquisition of Bilboes Gold Limited (the "Transaction"), the Company
announces that it has instructed the issue of a further 256,152 shares (the
"Deferred Shares").

 

As a reminder, under the Transaction, 5% of the total consideration shares,
being the Deferred Shares, were retained by Caledonia in order that
adjustments to the purchase price could be calculated after completion to
account for any extraordinary liabilities incurred.

Admission, settlement and dealings

Applications have been made to the London Stock Exchange plc for the following
to be admitted to trading on AIM ("Admission"):

 

(a) 423,951 depository interests representing the ZDRs; and

(b) 256,152 depository interests representing the Deferred Shares,

 

Admission is expected to occur at 8.00 a.m. on April 14, 2023. The shares
issued in respect of the ZDRs and the Deferred Shares will rank pari passu
with the common shares in the Company, with settlement scheduled for April 14,
2023.

 

Following the issue of the ZDRs and the Deferred Shares, the Company will have
a total number of shares in issue of 19,186,259 common shares of no par value
each, all of which have voting rights. The figure of 19,186,259 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 any change to
their interest in, the Company.

 

Caledonia Mining Corporation Plc's Chief Executive Officer, Mark Learmonth,
commented in respect of the Zimbabwe Placing:

 

"I am very pleased to see such strong demand from new and existing
institutional investors in Zimbabwe such as Zimbabwe's Mining Industry Pension
Fund who subscribed for a significant amount of the Zimbabwe Placing. Their
support will help us accelerate our growth plans in Zimbabwe."

 

Other than where defined, capitalised terms used in this announcement have the
meanings given to them in the announcements made on March 24, 2023.

Enquiries:

 Caledonia Mining Corporation Plc

 Mark Learmonth                                             Tel: +44 1534 679 800

 Camilla Horsfall                                           Tel: +44 7817 841 793
 Cenkos Securities plc (Nomad and Joint Broker)

 Adrian Hadden                                              Tel: +44 207 397 1965

 Neil McDonald                                              Tel: +44 131 220 9771

 Pearl Kellie                                               Tel: +44 131 220 9775
 Liberum Capital Limited (Joint Broker)

 Scott Mathieson/Kane Collings                              Tel: +44 20 3100 2000
 BlytheRay Financial PR (UK)

 Tim Blythe/Megan Ray                                       Tel: +44 207 138 3204

 3PPB (Financial PR, North America)                         Tel: +1 917 991 7701

 Patrick Chidley                                            Tel: +1 203 940 2538

 Paul Durham
 Curate Public Relations (Zimbabwe)                         Tel: +263 77802131

 Debra Tatenda
 IH Securities (Private) Limited (VFEX Sponsor - Zimbabwe)  Tel: +263 (242) 745 119/33/39

 Lloyd Mlotshwa

 

 

Note: This announcement contains inside information which is disclosed in
accordance with the Market Abuse Regulation (EU) No. 596/2014 ("MAR") as it
forms part of UK domestic law by virtue of the European Union (Withdrawal) Act
2018 and is disclosed in accordance with the Company's obligations under
Article 17 of MAR.

 

Cautionary Note Concerning Forward-Looking Information

 

Information and statements contained in this news release that are not
historical facts are forward-looking information and forward-looking
statements (collectively, "forward-looking information") within the meaning of
applicable securities legislation that involve risks and uncertainties
relating, but not limited, to Caledonia's current expectations, intentions,
plans, and beliefs.  Forward-looking information can often be identified by
forward-looking words such as "anticipate", "envisage", "believe", "expect",
"goal", "plan", "target", "intend", "estimate", "could", "should", "may" and
"will" or the negative of these terms or similar words suggesting future
outcomes, or other expectations, beliefs, plans, objectives, assumptions,
intentions or statements about future events or performance. Examples of
forward-looking information in this news release include the progression of
the Company's assets and its growth plans.  This forward-looking information
is based, in part, on assumptions and factors that may change or prove to be
incorrect, thus causing actual results, performance or achievements to be
materially different from those expressed or implied by forward-looking
information, including interpretations of exploration results and assumptions
relating to future costs and commodity prices.

 

Securityholders, potential securityholders and other prospective investors
should be aware that these statements are subject to known and unknown risks,
uncertainties and other factors that could cause actual results to differ
materially from those suggested by the forward-looking information.  Such
factors include, but are not limited to: risks relating to estimates of
mineral reserves and mineral resources proving to be inaccurate, fluctuations
in gold price, increases in capital or operating costs, risks and hazards
associated with the business of mineral exploration, development and mining,
risks relating to the credit worthiness or financial condition of suppliers,
refiners and other parties with whom the Company does business; inadequate
insurance, or inability to obtain insurance, to cover these risks and hazards,
employee relations; relationships with and claims by local communities and
indigenous populations; political risk; risks related to natural disasters,
terrorism, civil unrest, public health concerns (including health epidemics or
outbreaks of communicable diseases such as the coronavirus (COVID-19));
availability and increasing costs associated with mining inputs and labour;
the speculative nature of mineral exploration and development, including the
risks of obtaining or maintaining necessary licenses and permits, diminishing
quantities or grades of mineral reserves as mining occurs; global financial
condition, the actual results of current exploration activities, changes to
conclusions of economic evaluations, and changes in project parameters to deal
with unanticipated economic or other factors, risks of increased capital and
operating costs, environmental, safety or regulatory risks, expropriation, the
Company's title to properties including ownership thereof, increased
competition in the mining industry for properties, equipment, qualified
personnel and their costs, risks relating to the uncertainty of timing of
events including targeted production rate increase and currency fluctuations,
and the other risk factors discussed in the Company's reports filed with the
SEC on www.sec.gov and with Canadian securiites regulators on www.sedar.com.
Securityholders, potential securityholders and other prospective investors are
cautioned not to place undue reliance on forward-looking information.  By its
nature, forward-looking information involves numerous assumptions, inherent
risks and uncertainties, both general and specific, that contribute to the
possibility that the predictions, forecasts, projections and various future
events will not occur.  Caledonia undertakes no obligation to update publicly
or otherwise revise any forward-looking information whether as a result of new
information, future events or other such factors which affect this
information, except as required by law.

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