We have supported Australian-based gold mining company Tulla Resources go to market in order to raise more than £43 million. The deal, which will see Tulla Resources – a UK plc – floated on the Australian Stock Exchange (ASX), raise £43.53 million of new money from investors. As a result, the company will be worth more than £80 million when its depositary interests are re-listed on the ASX.
Money raised from the flotation will be used to fulfil obligations under its farm-in and joint venture agreement with ASX-listed Pantoro Limited.
Tulla Resources has 50% interest in the Central Norseman Gold Project - a historical gold mine located near the town of Norseman in the Goldfields of Western Australia that has produced over 5.5Moz of gold since operations began in 1935. The other 50% interest of Central Norseman Gold Project is held by ASX-listed company Pantoro Limited, which acquired that interest from Tulla Resources via a farm-in and joint venture agreement.
Working in partnership with Australian firm Herbert Smith Freehills, we advised on the pre-flotation restructuring and the UK aspects of the flotation, having held a long-standing relationship with the mining company as its company secretary since 2005 and UK legal adviser since 2018. Our team comprised Ben Harber, Catherine Moss, Hannah Maxwell and Georgia Keogh.
Catherine Moss, corporate partner said: “The listing of depositary interests in a UK plc on an overseas exchange is always a challenging process as we work with a company through the complexities of differing company law, takeover and corporate governance regimes. Together with Herbert Smith Freehills in Australia and Tulla Resources’ registrars we sought to enable Tulla Resources to do so as cleanly and efficiently as possible.
“At the moment, as it comes out of a period of intermittent lockdown, the Australian economy is starting to move into growth again and, as gold is a strategic asset for economically uncertain times, investing in companies that have access to provable reserves has become highly attractive for investors both in Australia and elsewhere.”
Mark McIntosh, Tulla Resources CFO said: "This matter threw up innumerable challenges which Shakespeare Martineau addressed, often at short notice, to enable the company to achieve its objective of becoming a listed public company and raising capital to secure funding for its 50% interest in the Norseman Gold Project.
"The company is immensely grateful for the advice and support of Catherine and Shakespeare Martineau. They were absolutely first class."
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