Bellevue Gold's SPP attracts strong interest with size increased 75% for $35 million in funds

Bellevue Gold Ltd (ASX:BGL) has fielded strong support for a $20 million share purchase plan (SPP) and as a result, has increased the size of the target by $15 million, or 75%, to $35 million. The company received valid applications from 2,896 eligible shareholders representing a participation rate of 37.83% and an average application amount of around $16,000. This brings the total funds raised under the oversubscribed SPP and previous placement to $135 million, which provides a strong show of support for the company's gold strategy entered on its namesake project in Western Australia., Funds raised will be used for ongoing resource growth and to accelerate development of the Bellevue Gold Project. “Extremely pleased" with support Managing director Steve Parsons said: “We are extremely pleased with the confidence and support our retail shareholders have shown. “The logic behind the share purchase plan was to allow our retail shareholders the ability to participate in the raising on the same terms as the institutional shareholders. “Given market circumstances around COVID-19, it prevented us from offering a SPP in our last raise so it has been great to reward them this time around” Bellevue Gold has thanked existing shareholders for their participation in the SPP and strong show of support following the successful completion of the oversubscribed $100 million placement to institutional investors. 35 million shares to be issued Strong interest in the SPP required a scaling back of valid applications that Bellevue received in accordance with the terms and conditions set out in the SPP offer booklet. Bellevue Gold will refund applicants the difference between the new shares issued to them and the parcel of shares the applicant applied for on or around August 18. The company is of the view that the scaling methodology applied allowed for the most equitable allocation of bids across the shareholder base taking into consideration shareholder holdings as at the record date.   Around 35 million new shares will be issued on August 18 under the SPP and are expected to trade from August 19. The new shares will be issued at $1.00 each.