Taiton Resources Limited commences capital raising process

Taiton Resources Limited (ASX:T88) has commenced a capital raising process to raise up to A$4.5 million. The capital will be utilized to advance its Challenger West, Highway, and Kingsgate Projects. The process involves a placement of new fully paid ordinary shares to sophisticated and institutional investors, with the aim of raising up to A$4.5 million before costs. Additionally, for every 3 New Shares subscribed, 1 free option will be issued to the subscriber, subject to shareholders' approval. The Options carry an exercise price of $0.20 per share and expire on 30 June 2027. The company has received firm commitments for 1,447,834 shares and is in discussions with a cornerstone investor to take up to 19.9% of the enlarged share capital of the Company. The Company expects to complete the book building and Tranche 1 Placement by early October.

Executive Commentary on Capital Raising

The Company is pleased to announce the commencement of the capital raising process, which will enable us to secure the necessary funds to further our exploration programs and working capital. We are encouraged by the firm commitments received so far and the ongoing discussions with potential investors. The capital raising will play a crucial role in advancing our projects and achieving our strategic objectives.

Summary of Capital Raising and Outlook

Taiton Resources Limited (ASX:T88) has initiated a capital raising process to raise up to A$4.5 million, targeting sophisticated and professional investors. The funds raised will be utilized towards the exploration programs and working capital of the Company, specifically for the advancement of its Challenger West, Highway, and Kingsgate Projects. The Placement will be undertaken in 2 tranches, with Tranche 1 utilizing the Company's existing placement capacity under ASX Listing Rules 7.1 and 7.1A, and Tranche 2 subject to approval of the shareholders of the Company. The Company is currently in discussions with a cornerstone investor to take up to 19.9% of the enlarged share capital of the Company. The indicative timetable for the Placement indicates the Company's intention to complete the book building and Tranche 1 Placement by early October, with the upcoming Annual General Meeting of the Company expected to be held on 28 November 2024. The Company's strategic focus on advancing its mineral exploration and development projects is evident through this capital raising initiative, reflecting its commitment to achieving its long-term goals and objectives.