REG - Corcel PLC - Equity Placing, Debt Restructuring Updates and TVR

CorcelAnnouncement

21/12/2022 11:45

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RNS Number : 4990K  Corcel PLC  21 December 2022

 

Corcel PLC

("Corcel" or the "Company")

 

Equity Placing and Debt Restructuring Updates and TVR

 

21 December 2022

 

Corcel, the natural resource exploration and development company with
interests in nickel, cobalt and other battery metals provides an update on
several financial matters.

 

Equity Placing Update

 

On 14(th) December 2022 the Company announced it had raised proceeds of
£466,000 at a significant premium to the current share price from AUSPECT
Investment PTY Ltd, a private Australian investment company, who had also
informed the Company that it ultimately intends to distribute the shares in
due course.

 

There are no changes to the previously announcing placing pricing or total
quantity of shares being issued as relates to the fundraising.

 

The Company has however now been informed that rather than distribute the
shares later, Mr Zhao, the proposed incoming Director, will personally
subscribe for one third of the placing, being a total of 38,833,333 shares.
Mr Zhao will subscribe through his family trust Mountain Stone Australia Trust
which is managed by OZJ Global Pty Limited.  The balance of the shares will
still be subscribed to by AUSPECT Investment PTY Ltd.  The settlement date
has now been agreed as 30(th) December 2022.

 

 

Debt Restructuring Update

 

The Company has made good progress reducing its debt balance following the
sale of Tring Road and the recently announced equity placing at a significant
premium. The Company is also working various opportunities which would
completely clear the debt which was restructured on 31 October 2022 and
further announcements will be made in this regard as appropriate.

 

Pursuant to the announcement of 31 October 2022, the Company has now paid the
lenders a refinancing fee of £77,759 in the form of 37,028,094 new ordinary
shares ("Fee Shares") priced at the lowest daily VWAP of the Company's shares
between 31 October 2022 and 20 December 2022 (the "Strike Price").  Also, as
previously announced on 20 July 2022, the Company has issued 5,000,000 new
ordinary shares in full satisfaction of the ESA fee termination obligation.
(together the "Fee Shares").

 

In addition, further to the announcement of 31 October 2022 in lieu of a cash
financing fee the Company has elected to issue 112,500,000 Warrants (the
"Warrants") allowing purchase of new ordinary shares of the Company at £0.004
until 20 February 2024, have now been recalculated to 214,285,714 Warrants,
repriced to the Strike Price of £0.0021, and extended until 31 March 2025
with associated resettability now in place until 31 December 2023.

 

As outlined in the Company's announcement of 5 December 2022, Corcel has
exercised its option to acquire the Mt. Weld Rare Earth Element Project, and
will now issue the vendors of the project 50,000,000 new ordinary shares (the
"Option Shares") at a price of £0.004 as full consideration for the
acquisition.

 

The Fee Shares, Warrants and Option Shares are to be issued following the
Company's Annual General Meeting scheduled for 22 December 2022.

 

Total Voting Rights:

 

Application will be made for the 42,028,094 Fee Shares to be admitted to
trading on AIM and it is expected that their admission to AIM will take place
on or around 5 January 2022 ("Admission").

 

Following Admission, the Company's total issued share capital will consist
of 788,736,389 Ordinary Shares, with one voting right per share. The Company
does not hold any shares in treasury. Therefore, the total number of Ordinary
Shares and voting rights in the Company will be 788,736,389 from
Admission. This figure may be used by shareholders in the Company as the
denominator for the calculations by which they will determine if they are
required to notify their interest in, or a change in their interest in, the
share capital of the Company pursuant to the FCA's Disclosure Guidance and
Transparency Rules.

 

 

For further information, please contact:

Scott Kaintz 020 7747 9960
             Corcel Plc CEO

James Joyce / Andrew de Andrade 0207 220 1666         WH Ireland Ltd
NOMAD & Broker

Patrick d'Ancona  0207 3900 230
       Vigo Communications IR

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the retained EU law version of the
Market Abuse Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK
law by virtue of the European Union (Withdrawal) Act 2018. The information is
disclosed in accordance with the Company's obligations under Article 17 of the
UK MAR. Upon the publication of this announcement, this inside information is
now considered to be in the public domain.

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