Ferro-Alloy Resources plc (LON:FAR) have today announced that further to yesterday’s announcement, Nick Bridgen, Chief Executive Officer of FAR , subject to completion, has sold a total of 16,666,667 ordinary shares in the Company at a price of 30 pence per share, raising aggregate gross proceeds of approximately £5 million. The Placing Shares have been placed with new and existing institutional shareholders.
Mr Bridgen sold 15,000,000 Placing Shares for his own account and 1,666,667 Placing Shares on behalf of Andrey Kuznetsov, Operations Director. This has been facilitated by way of a loan of the 1,666,667 shares from Mr Bridgen to Mr Kuznetsov, it expected that the loaned shares will be returned in due course once Mr Kuznetsov’s shares are dematerialised into CREST.
The Placing was conducted through an accelerated bookbuild. Shore Capital Stockbrokers Limited and VSA Capital Group Limited acted as Joint Bookrunners in connection with the Placing.
Following completion of the Placing, Nick Bridgen will hold 49,738,800 ordinary shares in the Company, representing approximately 14.5% of the Company’s issued share capital*. Following completion of the Placing, Andrey Kuznetsov will hold 68,517,333 ordinary shares in the Company, representing approximately 20.0% of Ferro-Alloy Resources’ issued share capital*.
The balance of the shares held by Mr Bridgen and Mr Kuznetsov will be subject to a lock-up which ends 180 day after completion of the Placing (unless consent is granted by the Joint Bookrunners). Mr Bridgen and Mr Kuznetsov have also agreed to enter into a 12-month lock-up with Vision Blue Resources, which will commence on the completion of the Initial Investment by VBR as defined in the announcement by FAR dated 15 March 2021.
The trade date for the Placing will be 24 March 2021 and settlement is expected to occur on a T+2 basis on 26 March 2021, subject to the satisfaction or waiver of certain customary conditions.
Allocations in the Placing will be confirmed to placees later today.
*Calculated on the basis of the 1,666,667 loaned shares having been returned to Mr Bridgen by Mr Kuznetsov.