Moho, which has exploration projects in Western Australia and Queensland, is acquiring 5 million St George shares at 10 cents per share for an initial 1.37% interest.
The placement price is a 13% discount to St George’s last close of 11.5 cents on Tuesday, July 16, a 13.5% discount to the 15-day VWAP of 11.56 cents and a 14.2% discount to the 30-day VWAP of 11.65 cents.
Placement shares are expected to be allotted and begin trading on Friday, July 26.
St George plans to use proceeds from the placement to expand exploration programs at its Mt Alexander Nickel-Copper Project near Leonora in WA as well as general working capital and corporate expenses.
Moho’s managing director Shane Sadleir said: “St George is undertaking some exciting exploration at Mt Alexander in WA and participating in this placement gives Moho exposure to a company poised to grow the scale of its high-grade nickel-copper discovery.”
Moho has three projects
Moho listed on the ASX in November 2018, raising $5.3 million.
The company is well-funded to advance exploration on its three highly prospective projects at Empress Springs in Queensland and Silver Swan North and Burracoppin in WA.
St George received strong institutional‐led investor support for the placement.
This endorses the quality of the Mt Alexander project - a high-grade nickel-copper sulphide discovery located in a tier-one mining jurisdiction.