Japaul Gold and Ventures Plc, one of the few listed mining companies in Nigeria has announced plans to raise additional equity capital of N20 billion at the NGX.
According to the company announcement, the capital will be raised through “special placements with identified investors”.
According to a corporate filing on the NGX website found by Nairametrics, the company announced plans to list an extra 8 billion ordinary shares valued at 50 kobo each, at N2.50 per share through a special placement.
According to the announcement signed by the company secretary, Michael Edeko, the move is aimed at raising funds for the expansion of the company’s minefields through:
The acquisition of a 50% equity stake in H&H Mines Limited
100% acquisition of Covenant Gems and Gold Minerals Limited in Atakunmosa LGA of Osun State.
The establishment of a gold refinery
It is noted that the H&H Mines has a gold reserve in the excess of 20 tonnes based on a “competent persons report” while the Covenant Gems and Gold Minerals has a minefield that contains gold and copper.
What you should know
With a share price of N1.39, Japaul Gold and Ventures Plc (JAPAUL) has achieved a year-to-date share price appreciation of 396%, representing one of NGX’s best performing stocks in 2023.
The deal to acquire stakes in H&H Mines first came up in 2020, however, it was hinged on Japaul’s ability to raise funds.
Excellent move under the present Nigeria government that favours the mining sector with supportive government policy, with a full ministry and able federal minister in the person of Dele Alake. If well managed as well intended, Japaul’s time of huge business success may have finally come.
Your guys are doing great job!
Thank you for making investment in stock market easy.
Investing in Japaul has not been a profitable one because the handlers of the company are not honest people. What returns have investors in the company enjoyed over the years? What is the dividend history like for the past 10years?
holding it for years without dividend. No capital appreciation. intended to sell off until i venture into your write up. Do i sell or hold? thank you for rgeat work done