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(Sharecast News) - Pulsar Helium said in an update on Thursday that it has raised 3.7m through a share placing and subscription to accelerate development of its flagship Topaz helium project in Minnesota.
The AIM-traded firm said the fundraising included 3.4m via an accelerated bookbuild in the UK and a further CAD 0.52m through a Canadian subscription, with 16.17m new common shares to be admitted to AIM on 29 August.
Its principal lender, University Bancorp, participated in the placing, increasing its stake to 4.99% of the enlarged share capital.
Net proceeds would fund drilling of up to 10 new appraisal wells to better define the Topaz reservoir, and a preliminary economic assessment and resource update over the next 12 months.
The company said the new shares would rank pari passu with existing shares, bringing its total issued share capital to 150.27m following admission.
At 1450 BST, shares in Pulsar Helium were down 20.09% at 23.17p.
Reporting by Josh White for Sharecast.com.
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