Alien Metals shares were sharply lower on Thursday after the exploration company said it had conducted a heavily discounted placing to fund salaries and further exploration activities.
Alien Metals raised £2m through the placing of 1,000,000,000 new shares to a restricted selection of investors at a price of 0.2p per share.
Broker WH Ireland was issued with 39,930,144 shares in lieu of fees.
The placing price represents a 29% discount to the closing price 8th August. Alien Metals shares were down 33% to 0.18p at the time of writing on Thursday and are down 65% in 2023 so far.
The company said they were continuing to negotiate offtake agreements for the Hancock iron ore project with interest parties including Anglo American. Work continues at a number of their other projects.