Australian shares of Red Metal gain on proposed IPO of unit

Red Metal

15/03/2021 03:55

** ASX-listed shares of Canada-based explorer Red Metal
 RDM.AX  climb as much as 8% to A$0.135, hitting their highest
in nearly two weeks
    ** Co proposes to spin out its Queensland-based copper-gold
Maronan project through a listing of unit Maronan Metals Ltd on
the ASX  urn:newsml:reuters.com:*:nFWN2LC02W
    ** Co to retain about 50% of the unit and says Red Metal
shareholders will receive a priority entitlement to subscribe
under the proposed IPO
    ** Unit to raise A$30 mln ($23.24 mln) at an issue price of
A$0.30/share 

($1 = 1.2908 Australian dollars)

 (Reporting by Shruti Sonal in Bengaluru)
 ((Shruti.Sonal@thomsonreuters.com; Twitter: @shrutisonal26))