- Heavily oversubscribed A$10
million Initial Public Offering ("IPO") on the Australian
Securities Exchange ("ASX") completed
- Extremely strong interest received, well supported by
existing shareholders as well as new institutional investors and
Australian sophisticated / retail investors
- Trading scheduled to commence on the ASX at 11am AEDT on Tuesday March
30th
- At the IPO price the Company's implied market capitalisation
will be A$24.1 million with over
A$12 million in net cash
- Kincora is focused on world class copper discoveries in
Australia's premier porphyry
district – the Lachlan Fold Belt in NSW
- Over 17,000m of drilling is
planned in the coming 12 months with 2 rigs currently drilling at
the brownfield Trundle Project and advanced preparations made for
drilling at the Nyngan and Fairholme Projects
- The Trundle Project sits in the same mineralised system as
Australia's second largest
porphyry copper mine, Northparkes, and the first hole at Trundle
intersected 51m @ 0.54% Cu &
1.17g/t Au from 39m
VANCOUVER, BC, March 29, 2021 /CNW/ - Kincora Copper Ltd. (the
"Company", "Kincora") (TSXV: KCC) (ASX: KCC), is pleased to
announce that it has raised A$10,000,000 (approximately C$9,620,000), before costs, via an Initial Public
Offering ("IPO") ahead of commencement of trading and dual listing
on the Australian Securities Exchange ("ASX").
Trading on the ASX in Kincora's securities under the ticker code
ASX: KCC is scheduled to commence at 11:00am AEDT on Tuesday,
March 30th, 2021.
The successful conclusion of the IPO is pursuant to the offer
under the prospectus dated March
1st 2021 by the issue of 50,000,000 shares
(settled on the ASX in the form of CHESS Depositary Interests
("CDIs")) at an issue price of A$0.20
per CDI. The CDIs are issued at a ratio of 1 CDI for 1
Share.
Kincora's chairman Cameron McRae
commented: "We are delighted with the extremely strong
response from investors which clearly underscores the re-rating
potential of Kincora to become the leading pure play explorer in
what is Australia's foremost
copper porphyry belt.
The transaction was very well supported by a number of our
existing shareholders and we welcome new institutional, high net
worth and retail investors to this heavily oversubscribed dual
listing. With the right corporate foundations and a strong
balance sheet, the team is very focused and excited about the
extensive amount of drilling and other potential value add
catalysts ahead of us."
Sam Spring, President & CEO,
stated: "I would like to thank the ASX, Morgans and Bridge
Street Capital who have done a great job as Joint Lead Managers,
Ernst & Young as our Australian legal advisor and the Kincora
team for hitting the originally stated targeted date for listing
and the hard work to have achieved such a successful IPO.
The high demand from and quality of investors in the IPO
reiterates the Board's view that the ASX is the natural stock
exchange for the Company, with Kincora's primary focus and value
drivers now related to our Lachlan Fold Belt ("LFB") assets in NSW,
Australia, where two drill rigs
are currently active at our brownfield Trundle project.
Preparations are well advanced for our initial drilling programs at
both the Nyngan and Fairholme projects with over 17,000 metres of
drilling expected within the next 12 months."
The primary use of IPO funds is to accelerate ongoing drilling
and exploration activities at the key Trundle Park and Mordialloc
targets in the Trundle Project, while advancing other Trundle
Project areas that have complementary but insufficiently tested
geochemistry and geophysical targets with the aim to find: (a) and
expand near surface copper-gold skarn mineralization overlying or
adjacent to (b) underlying copper-gold porphyry systems.
Other proposed uses of funds include:
i)
|
A strategy to test
for Cowal style intrusion related mineralisation at the Fairholme
Project north of Evolution Mining's 9.6Moz Cowal gold mine in an
area previously not substantively tested for this mineralisation
style despite analogous geochemistry, geophysics and interpreted
structural setting;
|
|
|
ii)
|
Progression of
exploration on other projects in the Macquarie Arc, project
generation activities (including the binding term sheet with
Resilience Mining Mongolia relating to the Company's Mongolian
asset portfolio and strategy), costs of the offer and general
working capital; and,
|
We note that exploration of the Company's Nyngan Project in the
Macquarie Arc is supported by a grant of up to A$120,000 by the Department of Regional NSW to
co-fund exploration drilling at the Nyngan Project in the
interpreted northern extension of the Junee-Narromine belt.
The Company's capital structure at the date of admission to the
ASX will be as follows:
Shares /
CDIs
|
120,712,026
|
(70.7m Shares on the
TSXV / 50m CDIs on the ASX)
|
|
|
Options
|
6,672,153
|
(Dec'20 weighted
average life 1.22 years with C$0.56/sh strike price)
|
|
|
Warrants
|
38,602,283
|
(Dec'20 weighted
average life 1.02 years with C$0.75/sh strike price)
|
About Kincora Copper Limited
(KCC – ASX &
TSXV)
Kincora Copper is an active explorer and project
generator focused on world-class copper-gold discoveries with the
near term ambition to become the leading listed pure play explorer
in what we believe is one of the most significant gold rich
porphyry regions in the world, the Lachlan Fold Belt ("LFB") of
Australia.
The Company is currently drilling the only brownfield project
(Trundle) held by a listed junior in Australia's foremost porphyry belt (the
Macquarie Arc, in NSW), with district scale project pipeline.
The Company has assembled a leading technical team that it
considers to be industry leading, who have made multiple Tier 1
copper discoveries, have "skin in the game" equity ownership and
are backed by a strong institutional shareholder base and recently
Australian capital market investors through a dual listing on the
Australian Securities Exchange.
Our exploration model applies a robust systematic approach
utilising modern exploration techniques supporting high-impact,
value add programs underpinned by targets with strong indications
for world-class scale potential.
Kincora has corporate offices in Vancouver and Melbourne, an operating office in Ulannbaatar,
operations in Trundle, New South
Wales and a year round camp in the Southern Gobi.
The Company is a reporting issuer in Ontario, British
Columbia and Alberta,
Canada, with its common shares trading on the TSX Venture
Exchange and CDIs trading on the ASX (from March 30th, 2021) under the symbol KCC.
Forward-Looking Statements
Certain information
regarding Kincora contained herein may constitute forward-looking
statements within the meaning of applicable securities laws.
Forward-looking statements may include estimates, plans,
expectations, opinions, forecasts, projections, guidance or other
statements that are not statements of fact. Although Kincora
believes that the expectations reflected in such forward-looking
statements are reasonable, it can give no assurance that such
expectations will prove to have been correct. Kincora cautions that
actual performance will be affected by a number of factors, most of
which are beyond its control, and that future events and results
may vary substantially from what Kincora currently foresees.
Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices,
exploitation and exploration results, continued availability of
capital and financing and general economic, market or business
conditions. The forward-looking statements are expressly qualified
in their entirety by this cautionary statement. The information
contained herein is stated as of the current date and is subject to
change after that date. Kincora does not assume the obligation to
revise or update these forward-looking statements, except as may be
required under applicable securities laws.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
SOURCE Kincora Copper Limited