Anglesey Mining plc shareholders today rejected the company’s proposals for £2 million financing from Alumni Capital Ltd, in conjunction with a capital reorganisation.
ADMINISTRATION
The money was earmarked for negotiations with third-party funders for a pumped hydro energy storage scheme at the Parys Mountain polymetal project in North Wales, thus generating cash flow.
Anglesey said that it was left with a “limited pool of alternative options” and material uncertainty over the company as a going concern.
“Following the results of today’s general meeting, the board will seek to preserve the company’s cash resources as far as practicable, and will urgently explore alternative sources of funding,” added the company.
“However, there can be no guarantee that the company will be able to find alternative sources of funding on a timely basis.
“If alternative funding is not available, the directors believe that it is likely that the company could be forced to enter into administration.”
At the deferred meeting, 55,464,765 votes, equal to 36%, approved the resolution for consolidation and sub-division of shares, against 98,397,538 (64%) against.
A total of 55,494,509 votes (36.1%) backed the proposal to grant the company the authority to allot shares, compared with 98,245,674 (63.9%) opposed.
A proposed amendment to Anglesey’s articles of association received 55,456,892 votes (36.1%) in support, while 98,321,945 (63.9) were against.
The final resolution of disapplication of statutory pre-emption rights gained 55,327,830 votes in favour (36%), versus 98,534,473 (64%) against.
Of an average 153,810,907 votes cast, an average 7,287,102 votes were withheld.