Metro Mining (ASX: $MMI) raises $44 million via Placement & SPP

Metro Mining Limited (Metro) (ASX: $MMI) has announced a capital raising of approximately $44 million through a Placement & Share Purchase Plan (SPP). The capital raising comprises a $40 million institutional placement and a $4 million SPP. The offer price of $0.041 per share represents an 8.0% discount to the 5-day Volume Weighted Average Price (VWAP) of $0.04455 up to and including Monday 29 April 2024, and a 10.9% discount to the last traded price of $0.046 on Monday 29 April 2024. The funds raised will be used to repay $39 million, comprising junior debt and working capital facility, with $5 million allocated for working capital and transaction costs. This move is expected to significantly strengthen and simplify Metro's balance sheet post-raise, with cash of approximately $22 million and net debt of approximately $60 million.

Metro's Executive Commentary

The information in this Presentation should be read in conjunction with Metro's other periodic and continuous disclosure announcements lodged with the Australian Securities Exchange (ASX), which are available at www.asx.com.au.

Outlook and Ambitions

Metro Mining's capital raising of $44 million through a Placement & Share Purchase Plan (SPP) is set to strengthen the company's balance sheet and simplify its financial position. The funds will be used to repay $39 million, comprising junior debt and working capital facility, with $5 million allocated for working capital and transaction costs. This move is expected to significantly strengthen and simplify Metro's balance sheet post-raise, with cash of approximately $22 million and net debt of approximately $60 million. The company's outlook appears positive as it aims to enhance its financial flexibility and pursue potential value-creation opportunities earlier.