Asante Gold Corporation Delays Initial Tranche of $100 Million Private Placement Due to Currency Conversion Issues
Asante Gold Corporation has announced a delay in closing the initial $25 million tranche of its $100 million non-brokered private placement, originally scheduled for October 15, 2024. In a statement to the Ghana Stock Exchange (GSE) on Monday, October 28, the company attributed the delay to foreign exchange conversion issues but confirmed it has received $14 million of the expected funds. The remaining balance is anticipated by October 31, 2024.
The private placement, announced last month, involves a strategic investor purchasing 90,666,667 common shares at C$1.50 per share, totaling approximately $100 million (C$136 million). This financing agreement is set to close in three tranches: the initial $25 million, followed by $35 million on November 14, 2024, and $40 million on December 5, 2024, pending regulatory approval.
Proceeds from this placement will support growth and development projects at Asante’s Bibiani and Chirano gold mines, in addition to acquisition opportunities and liability refinancing. Asante, listed on both the Canadian Securities Exchange and the GSE, is an established gold exploration and production company operating key projects in Ghana, including the Bibiani and Chirano Gold Mines, with ongoing studies at the Kubi Gold Project.
