CORCEL PLC — Share Issue/Capital Change 2013

Jan 15, 2013

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RNS Number : 5902V

Regency Mines PLC

15 January 2013

Regency Mines Plc

("Regency" or the "Company")

Issue of Equity and Directors' Dealing

15 January 2013

Regency Mines plc announces that pursuant to a Special Advance (the "Special Advance") entered into by the Company under the Standby Equity Distribution Agreement announced on 20 June 2011, the Company has issued 86,901,333 new ordinary shares of 0.1p each (the "Shares") at a price of 0.7125 pence per Share to YA Global Master SPV ("YA Global") to raise £619,172 gross (the "Issue"). 

The net proceeds of £589,687.5 from the Issue will be applied towards exploration and for working capital purposes.    

Pursuant to the Special Advance, a fee of £58,969 will be payable by the Company to YA Global in the form as follows:  4,138,175 Shares at a price of 0.7125 pence and £29,484.50 in cash ("the Fee").  

It has also been agreed that the following Directors of Regency will purchase certain Shares of the Issue from YA Global at the same price, being 0.7125 pence per Share:

Name of Director	Number of Shares purchased
Andrew R M Bell	14,035,088
John Watkins	500,000
Scott C Kaintz	421,053

Company Chairman Andrew Bell comments:

"Regency believes that a programme of deleveraging the business and putting the Company into a position where it can reduce its dependence on the markets for funding is both prudent and necessary. This process began in 2012, and the Company continues to review ways in which it can lay off costs or reduce them, while maintaining its activities and undertaking effective exploration. This equity issuance is a key development in this programme, and directors are showing their confidence in the future of the Company in 2013 by participating substantially in the funding."  

Following the issuance of the 91,039,508 new Shares, being Shares under the Issue and the Fee, the Company's total issued ordinary share capital will be 941,752,669 ordinary shares of 0.1p.

Application has been made to the London Stock Exchange for the new Shares, which rank pari passu with the Company's existing issued ordinary shares, to be admitted to trading on AIM.  Dealings are expected to commence at 8.00 a.m. on or around 21 January 2013. 

Following the Issue and the purchase by the Directors, the Directors' direct and indirect shareholdings in the Company will be as follows:

Ordinary Shares in the Company
	Direct	Indirect*	Total	As % of issued share capital
Andrew R M Bell	35,795,518	486,168	36,281,686	3.85%
Edmund Sr Bugnosen	200,000	486,168	686,168	0.07%
Scott C Kaintz	421,053	486,168	907,221	0.10%
Julian M E Lee	-	6,094,025	6,094,025	0.65%
John Watkins	4,150,000	486,168	4,636,168	0.50%

* Each director indirectly holds 486,168 shares held by the Share Incentive Plan Trustees. In addition, Julian M E Lee holds 5,607,857 shares through HSBC Global Custody Nominee (UK) Limited.

Enquiries:

Andrew Bell	020 7402 4580 or    07766 474849	Regency Mines plc	Chairman
Sandra Spencer	020 7402 4580 or 07757 660 798	Regency Mines plc	Public and Investor Relations
Gerry Beaney/ Daniela Amihood	020 7383 5100	Grant Thornton Corporate Finance	Nominated Adviser
Nick Emerson	01483 413500	Simple Investments Ltd	Broker

This information is provided by RNS

The company news service from the London Stock Exchange

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