Connected IO (ASX:CIO) is seeking to raise AU$5.2 million amid planned acquisitions of uranium and gold projects in Namibia and Western Australia, according to a Thursday filing with the Australian bourse.
The company entered into binding deals to acquire Namibia U308, which will hold an 80% interest in one granted exclusive prospecting license and three EPL applications in Namibia, as well as full legal and beneficial interest in three exploration licenses prospective for gold in Western Australia.
Connected IO is planning to undertake an 8.5-for-10 entitlement offer to raise AU$2.7 million and a placement to raise AU$2.5 million. Proceeds from the equity raising will mainly go toward completing the acquisitions and conducting exploration activities.
Upon completion of the acquisition, the company will appoint Warrick Clent as managing director.
Also, Connected IO will undertake a 1-for-20 consolidation of its ordinary shares and options expiring July 1, according to a separate filing.
Following consolidation, the company's number of shares will be reduced to 15,895,973 from 317,919,465.
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