The Board of Ram Resources Limited (“Ram” or “the Company”) is pleased to announce a fully underwritten, pro-rata, renounceable rights issue of approximately 358,101,917 new shares (“New Shares”) and 358,101,917 new options (“New Options”) on the basis of three New Shares for every five Ram shares held by shareholders at the Record Date an issue price of $0.009 per New Share, and one free attaching New Option (with an exercise price of $0.03 and an expiry date of 30 September 2013) for every one New Share issued, to raise approximately $3,222,917 (“Rights Issue”).
The Rights Issue will raise approximately $3,222,917 before costs, which will be applied towards the Company’s exploration programmes in Greenland and Western Australia, part repayment of the Company’s loan from Exchange Minerals FZE, the expenses of the Rights Issue and general working capital. Patersons Securities Limited has been appointed lead manager and underwriter to the Rights Issue. Ram intends to lodge a Prospectus for the Rights Issue with the Australian Securities and Investments Commission (ASIC) and announce to Australian Securities Exchange Ltd (ASX) on or around 29 August 2011. A proposed timetable for the Rights Issue (which is subject to change) is set out below:Lodgement of Prospectus with ASIC | 29 August 2011 |
Ex-date | 1 September 2011 |
Record Date | 7 September 2011 |
Rights Issue Opens | 9 September 2011 |
Rights trading ends | 16 September 2011 |
Right Issue Closes | 23 September 2011 |
Notification of shortfall to ASX and Underwriter | 28 September 2011 |
Allotment and despatch date for New Shares and Options | 4 October 2011 |
The Company intends to apply to the ASX for quotation of the New Shares and New Options.
An Appendix 3B applying for quotation of the New Shares and New Options follows.Mike Drew
Managing Director