Sundance Resources Limited (ASX:SDL) announced that it has entered into an agreement for a private placement of 62,500,000 shares at a price of AUD 0.004 per share for proceeds of AUD 250,000 and 10,545,454,545 shares at an issue price of AUD 0.0055 per share for proceeds of AUD 58,000,000 for aggregate gross proceeds of AUD 58,250,000 with participation from existing investor AustSino Resources Group Limited (DB:GHJ) on September 24, 2018. Post the closing, the investor will hold 50.8% stake in the company. The issuance of 62,500,000 shares is not subject to approval of the shareholders.

The issuance of 10,545,454,545 shares is subject to regulatory and shareholders approval. Post the closing, the two directors of investor will join the board of directors of the company. The transaction is expected to close on or before December 31, 2018.