Financing Update
Highlights:
o Total funds raised of £1,000,000 before expenses to new shareholders
o Proceeds of the placing to be used for gold exploration in Ivory Coast as well as the prepayment in full of YA Global ("Yorkville") convertible and debt and UK Bond Network ("UKBN") bonds
o Takes £842,237 gross (£650,515 net) of debt and convertible debt off the balance sheet
Financing Details:
The Company has completed a placing with clients of Cornhill Capital Limited ("Cornhill") of 1,538,461,538 ordinary shares of 0.01p each ("Shares") in the Company at a price of 0.065p per Share (the "Placing"). The gross proceeds of the Subscription are £1,000,000.
The proceeds of the Placing will be applied towards funding exploration activities in Ivory Coast, and fully settling existing debt facilities with Yorkville and UKBN.
The settlement amount of the Yorkville debt facility will be approximately £442,128, and the final settlement amount of the UKBN facility will be £400,109 gross (£208,387 net of cash escrow).
The Company also announces the appointment of Cornhill as joint broker.
Red Rock further announces that MG Partners II Ltd., which is an affiliate of Magna, has converted $7,500 of its $550,000 unsecured Convertible Notes, which are due for repayment on 1 January 2016, into 7,598,784 ordinary shares of 0.01 pence each ("Conversion Shares") in the Company under the terms of the Convertible Note Instrument ("Convertible") as announced on 6 January 2015, at a price of 0.066554p per Conversion Share (the "Conversion").
Following the Conversion, MG Partners II Ltd. will hold 7,598,784 ordinary shares in the Company representing 0.1890% of the Company's enlarged ordinary issued share capital.
Application has been made to the London Stock Exchange for the Shares and Conversion Shares, together 1,546,060,322 new ordinary shares, which rank pari passu with the Company's existing issued ordinary shares, to be admitted to trading on AIM. Dealings are expected to commence at 8 a.m. on 26 March 2015.
Following the Placing and the Conversion, the Company's total issued ordinary share capital will be 4,019,816,506 ordinary shares of 0.01p. The above figure of 4,019,816,506 may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company under the FCA's Disclosure and Transparency Rules.