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Druces advises Savannah Resources plc on its £5m placing and subscription

Druces’ Capital Markets team has advised long-standing client Savannah Resources plc (AIM: SAV, FWB: SAV and SWB: SAV) (“Savannah”), in connection with a secondary fundraising of approximately £3.76 million cash (before expenses) through a placing (“Placing”) of 161,400,000 new ordinary shares of 1p each (“Ordinary Shares”) and subscription of 26,500,000 Ordinary Shares, such Ordinary Shares being with both new and existing investors at a price of 2 pence per Ordinary Share. finnCap and Whitman Howard acted as joint bookrunners in respect of the Placing.

Savannah also received letters of intent for a further investment of £1.24 million, comprising £1.2 million from its major shareholder Al Marjan Limited which has two representatives on the board, giving gross proceeds of £5,000,000.

The net proceeds of the fundraise will be used primarily to complete the definitive feasibility study on Savannah’s Mina do Barroso lithium spodumene project in Northern Portugal.

Druces Capital Markets Partner, Dominic Traynor, led the Druces’ team which included Jack Kemmish (Associate) and Mark Lamph (Solicitor).

Dominic Traynor, Partner, commented: “This transaction presented our firm with another opportunity to work with the first class management team at Savannah. We wish the team well in their future endeavours as they focus on their top priority of financing, constructing and operating Mina do Barroso”.  

Michael McGarty, Chief Financial Officer of Savannah commented: “We have a very close working relationship with Druces and their advice and commitment during this transaction was invaluable. We are grateful to Dominic, Jack and Mark for supporting us to complete the placing and subscription quickly and efficiently, whilst working to a tight timetable.

A copy of the announcement and Savannah’s latest presentation can be accessed on Savannah’s website at www.savannahresources.com/investor-relations/presentations-and-reports.

 

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For further information please contact:

Rachel Hill, Business Development & Marketing Assistant

Druces LLP

D  +44 (0)20 7216 5518

E  r.hill@druces.com

This news was posted on 18 September 2019