Saturday 20 October 2018

Teeling diamond company raises €560,000 in share placing

The Milky Way as seen from the Kalahari in Botswana – a number of sites there are to be drilled
The Milky Way as seen from the Kalahari in Botswana – a number of sites there are to be drilled
Ellie Donnelly

Ellie Donnelly

Botswana Diamonds, the exploration firm chaired by veteran investor John Teeling, has raised £500,000 (€560,000) in a share placing.

The 50,000,000 new ordinary shares, which represent just under 10pc of the company’s issued share capital, were placed at a price of 1pc per share with new and existing investors.

Proceeds from the placing will fund ongoing diamond exploration in South Africa and Botswana, and will also provide the company with additional working capital, a statement from Botswana Diamonds said.

Following the admission of the placing shares, there will be a total of 509,282,508 ordinary shares in issue, with each share carrying the right of one vote.

The application will be made for the placing shares to be admitted to trading on AIM - the market for smaller, growing companies – on the London Stock Exchange, and it is expected that the admission will become effective at the end of this month.

The move follows an announcement from the company yesterday that it is commencing work on the 2018 Alrosa/Botswana Diamonds joint venture in Botswana.

The objective of the work is to follow up on 15 previously identified geophysical targets in the Central Kalahari Game Reserve (CKGR) and turn them into drill targets.

According to a statement from the company, this phase of the work is being supervised by an exploration team from Botswana Diamonds, and is fully funded.

In 2011, the company's chairman Mr Teeling sold his Cooley Distillery business to Jim Beam for more than €70m.

Online Editors

Business Newsletter

Read the leading stories from the world of Business.

Also in Business