Mkango Resources raises three million British pounds

Executive Summary

• Mkango Resources Ltd. conditionally raised £3.0 million gross proceeds by issuing 10 million units (each unit = 1 common share + ½ warrant) at £0.30 per unit.
• Net proceeds are expected to be approximately £2.8 million after fees, which will fund recycling development in the UK and Germany and cover corporate costs.
• The placement closes around Oct. 1 2025, subject to TSX‑V approval; the new shares will be admitted to trading on AIM (and potentially TSX‑V) with a statutory hold period for Canadian shareholders.

Key Details

• Units Issued: 10 million units at £0.30 per unit (£3.0 M gross).
• Unit Composition: 1 common share + ½ warrant; each full warrant allows purchase of one common share at £0.45 for two years after closing.
• Discount to Market: 9.32% discount to AIM VWAP and 13.49% discount to TSX‑V VWAP (5‑day trailing).
• Net Proceeds: Approximately £2.8 million (≈ $5.3 M) after fees.
• Use of Proceeds:
• Continue recycling development costs in Germany and the United Kingdom.
• Finance ongoing corporate expenses.
• Closing Date: Expected on or about Oct. 1 2025, contingent on TSX‑V approval and AIM admission.
• Listing Details:
• Subscription shares to be admitted to trading on AIM (effective ~8 a.m., Oct. 1 2025).
• Subject to a statutory hold period in Canada (four months + one day) for both subscription shares and warrant‑derived shares.
• Potential TSX‑V listing pending approval.
• Share Capital Post‑Issue: 345,992,907 common shares outstanding; no treasury shares.
• Broker Commissions & Fees:
• Jub Capital Management LLP – 5% cash commission + 5% non‑transferable broker warrants (500,000 warrants total), plus a £5,000 corporate finance fee.
• SP Angel – 1% cash commission on proceeds settled through SP Angel.
• Broker Warrant Terms: 3‑year term; exercise price £0.30 per share; subject to same Canadian hold period as subscription shares.

Notable Quotes

“We are delighted by the continued support and confidence from our existing shareholders reflected in this three‑million‑British‑pound investment… This funding enables continued momentum on the development and scale‑up of the rare earth magnet recycling and manufacturing projects in the U.K. and Germany…” – William Dawes, Chief Executive Officer

Materiality Assessment: Material – Positive (significant financing that will fund key operational projects and strengthen the balance sheet).