Neo Energy Metals complete reverse takeover, £4.9 million fundraising and admission to AIM
November 2023
Neo Energy Metals plc (previously Stranger Holdings plc) is one of the most advanced, high-grade uranium companies capable of near-term production and the Only Primary Listed Company in London to offer investors with direct exposure to the uranium sector.
Neo Energy holds up to a 70% interest in the Henkries Uranium Project in the Northern Cape of the Republic of South Africa. This 742km2 uranium project with an estimated mineral resource of 4.7 million pounds of uranium has been subject to extensive historical exploration activities as well as a feasibility study, which the Directors believe represents a significant opportunity for the Company’s stakeholders to gain exposure to the uranium exploration and mining sector.
The other 30% interest is owned by Wavecrest Proprietary Capital Limited, a company registered in the Republic of South Africa, and which holds its interest in accordance with South Africa’s Broad Based Black Economic Empowerment legislation.
Neo Energy’s strategy is layered on a two-year development approach to generate cashflow from Henkries with a view towards building a longer term (8-year) exploration and portfolio growth strategy to develop the highly prospective Northern Cape Region of South Africa and, potentially, broader regional expansion into energy metal property holdings globally.
Notably, the Company plans to explore additional minerals of significant intrinsic value to the global de-carbonisation drive such as lithium, graphite, copper, lead, and zinc, should they occur on properties under investigation. The Competent Persons Report annexed to the Company’s Prospectus highlights that Henkries’ basement gneisses are mostly of the Aggeneys Subgroup, and the Marula Mining Blesberg Spodumene (lithium) deposit is less than 30km from Henkries, suggesting the potential for further discoveries of this nature in the region. In addition, data obtained in May 2022 from detailed historical airborne surveys identified what could be a significant base metal anomaly within the Henkries property. Any discoveries worthy of investigation have the potential to be spun out with the proceeds being used to further fund the Company’s uranium growth strategy.
Reverse takeover and admission to trading on AIM
As part of a Reverse Take-Over process, the Company raised £4.9 million gross of fees and costs through a Subscription for Shares and a Placing of Shares at 1.25 pence per Ordinary Share. The Enlarged Share Capital following Admission will be 1,216,371,468 ordinary shares giving the Company a market capitalisation of c.£15m.
First Day of Dealings commenced on 9th November 2023
For more information, click here.
The Perivan Shareholder communications team were delighted to be appointed to produce the 108- page reverse takeover and admission document.
Perivan is the market leader for IPO admission document production and specialise in producing and publishing financial documents relating to shareholder and investor communications for quoted companies, private companies, and open and closed-ended funds.
