Result of Placing and Subscription

AfriTin Mining Limited (AIM: ATM), an African tech-metals mining company with a portfolio of mining and exploration assets in Namibia, is pleased to announce the successful completion of the Placing and Subscription announced on 15 September 2022, subject only to Admission (and in the case of the Subscription, subject to the receipt of proceeds).

Following strong demand in the bookbuild, the total gross proceeds from the Placing has increased from US$7.5 million to US$12.8 million (£11.1 million) resulting in aggregate gross proceeds from the Fundraising of US$22.8 million. The incremental Placing proceeds will be used to further expand the Uis resource drilling programme, Brandberg West development and for general corporate purposes.

A total of 222,701,660 new Ordinary Shares (“Placing Shares”) have been conditionally placed with new and existing institutional investors pursuant to the Placing by Hannam & Partners and Stifel Nicolaus Europe Limited (the “Joint Bookrunners”), at a price of 5 pence per new Ordinary Share (the “Placing Price”), conditional inter alia upon their admission to trading on AIM. In addition, The Orange Trust has also subscribed for a total of 173,320,000 new Ordinary Shares (the “Subscription Shares”), at the Placing Price (the “Subscription”), conditional inter alia upon their admission to trading on AIM and receipt of proceeds.

A total of 396,021,660 new Ordinary Shares will therefore be issued pursuant to the Placing and Subscription, raising gross proceeds of £19.8 million (approximately US$22.8 million). The Placing Shares and Subscription Shares together represent approximately 26 per cent. of the Company’s enlarged ordinary share capital after the completion of the Fundraising.

The Placing Price represents an 8 per cent. discount to the mid-market closing price on 15 September 2022.

The new Ordinary Shares to be issued pursuant to the Placing and Subscription will, when issued, be credited as fully paid and will rank pari passu in all respects with the existing Ordinary Shares of the Company, including the right to receive all dividends or other distributions made, paid or declared in respect of such shares after the date of issue of the new Ordinary Shares.

Capitalised terms used but not defined in this announcement shall have the meaning given to them in the announcement made on 15 September 2022.

Anthony Viljoen, CEO of AfriTin Mining Limited commented:

“On behalf of the board, I am delighted to announce completion and upsizing of the Placing and Subscription portion of the wider US$48.3 million Proposed Funding Package (now US$53.6m as a result of the upsizing), referred to in our announcement yesterday. Bringing on additional funding partners to complete this package, alongside Standard Bank, has the potential to position AfriTin at the forefront of the tech metals sector.

“We are excited to open up a new province in Namibia targeting a globally significant lithium resource, bring our lithium and tantalum revenue streams online, alongside significantly accelerating our existing tin operation for its next phase of development.

“We would like to sincerely thank all our existing shareholders for their continued support and welcome our new shareholders as we start this next chapter and look to fully unlock AfriTin’s potential.”

News in full

In the interview below, Anthony Viljoen provides an overview of the business and gives a snapshot of the tin market