The Kin Board has rejected the NBIO as it would not have been approved by the requisite 75% voting majority of Kin's shareholders. In order to be able to progress the Entitlement Offer and to ensure the market is fully informed of all material matters relevant to the value of Kin shares, Kin has disclosed its receipt of the SBM NBIO. Further, Kin intends to launch an Entitlement Offer to raise up to
Entitlement Offer
The Entitlement Offer, which will be available to all eligible shareholders, will be priced based on the recent share trading once details have been settled.
The funds raised will provide Kin with sufficient working capital to complete the next phase of systematic exploration work at the CGP and to follow up on the exciting new discoveries and targets identified as part of its highly successful drilling campaigns completed during 2020 and 2021. These include the emerging discoveries at Mt Flora and Iron King, as well as multiple new prospects which have been identified following significant improvements in the Company's understanding of the geology and potential of the CGP such as the Eagle and Crow prospects.
Commenting on the capital raising, Kin Managing Director
At Cardinia Hill, we have successfully added 106koz of new Mineral Resources, while the Bruno-Lewis Mineral Resource has been expanded by 20% to 374koz. 'Our systematic approach to exploration has paid off in spades and given us a much better idea of where and how to target the next phase of drilling - which will be designed both to define new resources and to identify additional discoveries with the potential to deliver a step-change in the value of the project.
'The additional funding will allow us to continue to assess the recent discoveries at Cardinia Hill and follow up on new prospects like Mt Flora, Eagle and Crow - in short to maintain the very strong exploration momentum we have built up over the past two years. 'Other targets across the land package have been identified by recent soil geochemistry and modern geophysical surveys over largely untested areas within the highly mineralised Cardinia area. We expect this work to generate new follow-up programs of work stretching into 2022.'
NBIO from
Kin received a confidential non-binding indicative proposal (NBIO) from
The Proposed Transaction, if it had been implemented, would amongst other things have required the approval by a majority of shareholders (other than SBM) holding 75% of the shares voting in favour of the Proposed Transaction at the scheme meeting. The Kin Board considered the NBIO, engaged with SBM, and canvassed the views of its major and substantial shareholders other than SBM who collectively hold in excess of 25% of the total Kin shares on issue. The Board determined that the proposed NBIO could not progress because the Proposed Transaction was not acceptable to the major and substantial shareholders other than SBM, and therefore would not have been approved by the requisite 75% voting majority of Kin's shareholders.
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