Forrestania Resources Extends Share Purchase Plan Deadline to November 8, 2024
FRS (FRS) Share Update October 2024 Tuesday 29th
Forrestania Resources Extends Share Purchase Plan Deadline
Forrestania Resources Limited (ASX: FRS) has announced an extension to its Share Purchase Plan (SPP), providing shareholders more time to participate in the offer.
Instant Summary:
- SPP deadline extended to November 8, 2024.
- Eligible shareholders can purchase up to A$30,000 worth of shares.
- Shares offered at a 17.54% discount to recent prices.
- Funds to support exploration and working capital.
Extension of Share Purchase Plan
Forrestania Resources Limited has announced an extension to its Share Purchase Plan (SPP), originally set to close on October 31, 2024. The new deadline is now set for 5:00 pm AWST on November 8, 2024. This extension allows eligible shareholders in Australia and New Zealand additional time to acquire up to A$30,000 worth of shares without incurring brokerage or transaction costs.
The shares are priced at $0.0125 each, representing a significant discount of 17.54% compared to the last closing price of $0.015 per share on October 9, 2024. This discount is also reflected in the 5-day volume-weighted average price (VWAP) of the shares.
Use of Funds
The funds raised from this SPP will be directed towards drilling and exploration activities at the Bonnie Vale site, as well as other exploration programs. Additionally, part of the funds will be allocated to working capital, supporting the company's ongoing operations and strategic initiatives.
Participation Details
Participation in the SPP is optional and available to eligible shareholders who held shares as of the record date on October 11, 2024. Shareholders can apply for shares in increments ranging from A$2,500 to A$30,000. All new shares issued under the SPP will rank equally with existing shares, ensuring consistent shareholder rights and benefits.
About Forrestania Resources
Forrestania Resources is an Australian company focused on exploring gold, lithium, and copper in the Eastern Goldfields, Forrestania, and Southern Cross regions of Western Australia. The company holds several exploration licenses and is actively pursuing opportunities in these mineral-rich areas.
The extension of the SPP provides shareholders with a longer timeframe to participate in the discounted share offering, which could lead to increased participation and capital raised. This move is likely to support Forrestania Resources' exploration and operational goals, potentially enhancing shareholder value in the long term.
Investor Reaction:
Analysts may view the extension positively, as it provides more flexibility for investors to engage with the company's growth plans. However, the success of the SPP will depend on shareholder uptake and market conditions.
Conclusion:
Investors should consider the potential benefits of participating in the SPP, given the discounted share price and the company's strategic focus on exploration. Staying informed about Forrestania Resources' progress and market conditions will be crucial for making informed investment decisions.