Bannerman Resources Limited recently announced the acquisition of full ownership of its uranium asset, Etango, in Namibia, and a debt free balance sheet.
The resolutions, which were all endorsed by shareholders at the company’s Annual General Meeting in December 2015, included a transaction with Resource Capital Funds to raise A$3 million through an equity placement and to convert A$12 million of debt into equity and a 1.5 per cent royalty over the Etango project. Following the transaction, RCF now holds 38.3% per cent ownership of Bannerman Resources.
In addition to the transaction, further resolutions passed included a share acquisition by Bannerman Resources to obtain 100% Etango ownership and performance rights issued to Chief Executive Officer Len Jubber.
Bannerman Resources Chairman, Ronnie Beevor, in his address to shareholders said that the transactions with RCF deliver a debt free balance sheet with new funds that allow Etango to be taken to the next stage.
“Importantly, Bannerman has now established a sound project platform for extensive engagement with the global nuclear industry,” said Mr Beevor.
RCF Principal, Chris Corbett, said that RCF was pleased to engage with Bannerman Resources and support the company through to its next stages of development.
“RCF partners with portfolio companies to build strong, successful and sustainable businesses that strive to produce superior returns to all stakeholders and we’re pleased to be engaged with Bannerman Resources to help to achieve the strategic goals of the company,” said Mr Corbett.
RCF employs a range of investment styles and works with management teams to structure transactions that reflect the risks and opportunities associated with each company.
To read the full results of meeting and Chairman’s address from Bannerman Resources please visit their website.