01 July 2024
Shard
Facility update and proposed share subscriptions
Zanaga Iron Ore Company ("ZIOC" or
the "Company") (AIM:ZIOC) announces that,
further to ZIOC's announcements on 28 June 2024 Shard Merchant
Capital Ltd ("SMC") has approached ZIOC to request a waiver to the
share trading limitations imposed by the equity subscription
agreements entered into between SMC and ZIOC in 2023 and 2024
respectively, allowing SMC to sell a block of ZIOC shares expected
to be in the order of 14,380,953 shares at a price of 5.25 pence
per share ("Trade Price") (the "Shard Facility Sale").
The Shard Facility Sale would be
conditional upon the admission to trading on AIM of the 24 million
Ordinary Shares to be issued pursuant to Existing ESA Tranche 3 and 2024 ESA
First Tranche (as those terms are defined in ZIOC's announcement at
17:54 on 28 June 2024). An application has been made and these
Ordinary Shares are expected to be admitted to trading on AIM on 4
July 2024 ("Admission").
In addition:
·
Glencore has indicated that, subject to the Board
of Directors resolving not to require Glencore to extend an offer
in accordance with Article 33.1 of the Company's Articles of
Association and SMC confirming that it has conditionally sold at
least USD500,000 of Ordinary Shares, they would be willing to
subscribe for GBP236,425 of ordinary shares in the Company at the
Trade Price (being an amount equal to approximately USD300,000 in
aggregate using the GBP:USD exchange rate of 1:1.2689);
and
·
Mr Clifford Elphick has indicated that he would
also be willing to subscribe for GBP15,761 of ordinary shares in
the Company, at the Trade Price (being an amount equal to
approximately USD20,000 in aggregate using the GBP:USD exchange
rate of 1:1.2689),
(together, the
"Subscriptions").
Completion of the Subscriptions
would result in Glencore and Mr Elphick acquiring 4,503,339 shares
and 300,223 shares respectively, and their direct and indirect
shareholdings becoming 43.17% and 12.23%
respectively.
The Company proposes to grant the
waiver to SMC and enter into the Subscriptions and a further
announcement will be made in due course.
The Zanaga Iron Ore Company Limited
LEI number is 21380085XNXEX6NL6L23.
For further information, please
contact:
Zanaga Iron Ore
Corporate Development
and
Andrew Trahar
Investor Relations
Manager
+44 20 7399 1105
Panmure Liberum Capital
Limited
Nominated Adviser,
Financial
Scott Mathieson, John More
Adviser and Corporate Broker
+44
20 3100 2000
Shard Capital Partners LLP
Corporate
Broker
Damon Heath
+44 207 186 9952
______________________________________________
THIS ANNOUNCEMENT CONTAINS INSIDE
INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE
REGULATION (EU) 596/2014 AS IT FORMS PART OF UK DOMESTIC LAW BY
VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("MAR"), AND IS
DISCLOSED IN ACCORDANCE WITH THE COMPANY'S OBLIGATIONS UNDER
ARTICLE 17 OF MAR