Greatland Gold has announced a small capital raising and a big selldown by major shareholder Newmont ahead of the $3.5 billion miner’s listing on the ASX.
Greatland Gold has announced a small capital raising and a big selldown by major shareholder Newmont ahead of the $3.5 billion miner’s listing on the ASX under the name of Greatland Resources.
Currently listed on London’s AIM exchange, Greatland is planning a local listing in recognition of its focus on gold assets in the Pilbara.
The pricing of the IPO will be determined through a bookbuild process next month.
However Greatland’s prospectus, issued today, uses an illustrative price of $5.08.
On that basis, it plans to issue some 9.8 million shares via the IPO.
In addition, a further 66.7 million shares will be offered for secondary sale.
This comprises half the shares to be issued to Newmont Corporation, which acquired a 20 per cent stake after agreeing to sell its Newmont mine to Greatland.
The company has appointed a heavyweight panel of brokers to support its listing and IPO.
Merrill Lynch Equities Australia (aka BofA Securities), Barrenjoey Markets and Canaccord Genuity Australia are Joint Lead Managers while Perth firms Sternship Advisers and Argonaut Securities are Co-Managers.
King & Wood Mallesons is the Australian legal adviser.
A separate offer of some 2.7 million Greatland Resources shares will be made in the UK, to raise gross proceeds of up to £6.7 million ($14 million).
Writing in the prospectus, chairman Mark Barnaba highlighted the value of the Telfer mine and the potential of the nearby Havieron project.
He described Havieron as one of the largest high-grade gold discoveries in Australia of the last 20 years and the second largest undeveloped gold project by mineral resource in Australia.
The quotation of Greatland Resources shares on the ASX is expected to occur on 24 June.
