Mkango raises £12.5m in oversubscribed share offering to fund German expansion

Mkango Resources ( (TSE:MKA) ) has shared an update.

Mkango Resources has completed an oversubscribed equity fundraise, increasing the offer from £10 million to £12.5 million through the issue of 37.9 million new shares at 33 pence, representing about 10.8% of its pre-raise share capital. The shares were placed with new and existing investors via a mix of placing, LIFE offering, retail offer and subscription, and are expected to begin trading on AIM and TSX-V on 10 April, subject to regulatory approvals.

Net proceeds will fund a potential acquisition of a synergistic German magnet business, capital expenditure at its U.K. and German operations, and working capital, strengthening the group’s balance sheet and expansion plans. Management framed the strong demand as an endorsement of Mkango’s strategy to build an end-to-end rare earths supply chain, despite challenging market conditions, while also disclosing insider participation in the retail offer as a related party transaction under Canadian securities rules.

More about Mkango Resources

Mkango Resources is a rare earths-focused company listed on AIM and TSX-V, with integrated operations spanning the rare earths supply chain. The company is developing and expanding magnet and processing businesses in the U.K. and Germany, targeting growth in critical materials for green technologies and advanced manufacturing.

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