- Proposed investment by The Seventy Ninth Group to raise £2.18M subject to shareholder approval.
- The Seventy Ninth Group will own approximately 51.2% of FCM on completion.
- Strategic investment to accelerate the advance of project portfolio.
- Potential for business synergies to create new project acquisition opportunities.
- Deal will represent The Seventy Ninth Group’s first external investment in the exploration sector.
The Seventy Ninth Group is pleased to announce a strategic investment in First Class Metals PLC (“FCM”), a Canada focussed precious and base metal explorer, with extensive land holdings in Northern Ontario.
This represents a major step forward for The Seventy Ninth Group’s strategic focus on identifying and supporting undervalued, high-growth opportunities globally.
The planned investment is to be completed in two stages for a total 128,500,000 ordinary shares of £0.001 (“Shares”) at 1.7p per Share. Further detail can be found in the announcement made by First Class Metals on its London Stock Exchange page and in this link: LSE:FCM – First Class Metals – Proposed Strategic Investment
The Seventy Ninth Group does not currently hold any Shares in First Class Metals, however, it has previously lent £500,000 to the Company.
After the issue of the shares, The Seventy Ninth Group will hold 128,500,000 shares in the Company equating to 51.2 per cent of the enlarged share capital of First Class Metals.
Upon successful completion of the investment, the following changes will be made to the Board of First Class Metals:
- David Webster will be appointed as a Director of the Company and will become Non-Executive Chairman
- James Knowles will step down as Executive Chairman and will become an Executive Director
- Marc Sale will cease to be a Director of the Company and will take up the role of CEO.
David Webster, Chairman of The Seventy Ninth Group, commented:
“I am delighted that The Seventy Ninth Group is making this investment in First Class Metals. As an international conglomerate we will utilise our global presence to add value across the portfolio and apply the full support of the Group’s expertise in developing and financing assets. As we already hold exploration projects in the Republic of Guinea and Ontario, Canada, this investment strengthens our position in the global mining industry whilst giving us increased exposure to a top-tier mining jurisdiction.”
