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Silver Lake Resources Launches Share Purchase Plan To Raise Up To $15M

Silver Lake Resources (ASX: SLR) has formally launched its Share Purchase Plan to raise up to $15 million to repay debt and for working capital purposes.

Shareholders will be able to subscribe for between $2,500 and $15,000 worth of shares priced at $0.85 each. This represents a 13.6% discount to the 5 day VWAP ending 23 August.

This follows the company's heavy oversubscribed fully underwritten placement that raised $47.5 million, highlighting the strong support received from a large number of existing and new Australian, Asian, North American and European investors.

Analysis

With shares in the company expected to rise today, the offer presents shareholders with an opportunity to acquire additional shares in the company at an attractive price.

This follows a strong show of confidence by institutional investors as well as a endorsement of the future prospects of the company by the company's directors who are seeking to acquire $1.2 million worth of shares.

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.