By 
Brightstar Resources Limited (Brightstar or the Company) (ASX: BTR) is pleased to report that it has received firm commitments for a placement of new fully paid ordinary shares in the Company (Shares) at A$0.014 per Share to raise A$12 million (before costs) (Placement).
Highlights:
Firm commitments received to raise A$12 million through a strongly supported two-tranche PlacementPlacement completed to leading domestic and international institutional and sophisticated investors, including a significant contribution from existing shareholders of Brightstar and LindenPost completion of the Placement, Brightstar to emerge with over $20 million in cash and no debt to fund mine life extension at the operating Second Fortune mine, fast-track development of the Jasper Hills, Menzies and Laverton Gold Projects
The Placement had strong cornerstone support including a strategic $2 million investment from St Barbara Ltd who is expected to emerge as Brightstar’s largest shareholder with a shareholding of approximately 13% post completion of the Placement and the Linden takeover. Brightstar’s existing largest institutional shareholder, Collins St Asset Management, subscribed for approximately $2.3 million in the Placement, while well-regarded mining investment house Lion Selection Group (ASX:LSX) participated for $2 million in the Placement.
The Placement will be completed in the following two tranches:
298,676,401 Shares within the Company’s existing placement capacity pursuant to Listing Rule 7.1 and 237,037,885 Shares within the Company’s existing placement capacity pursuant to Listing Rule 7.1A, raising a total of $7.5 million; and321,428,571 Shares, subject to shareholder approval in accordance with Listing Rule 7.1, raising $4.5 million.
The Placement is not conditional on the success of the takeover bid for Linden.
Click here for the full ASX Release