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Goodman Derrick's Capital Markets team advise on the £15.84 million reverse takeover acquisition of Capital Metals Limited

Goodman Derrick’s Capital Markets team have advised Spark Advisory Partners and Brandon Hill Capital, as NOMAD and joint broker respectively, in relation to the £15.84 million reverse takeover acquisition under AIM Rule 14 by AIM-listed Equatorial Palm Oil plc (renamed Capital Metals plc) of a 99% interest in BVI company, Capital Metals Limited, and the readmission of Capital Metals plc’s enlarged share capital to trading on AIM.

The acquisition was financed through a combination of an oversubscribed placing, management subscriptions and the issue by EPO of up to 132,000,000 new ordinary shares as consideration to the CML shareholders for all the issued shares in CML.

Incorporated in 2015, Capital Metals Limited had licences prospective for a large and high quality mineral sands in Sri Lanka, the Eastern Mineral Sands Project. The Project has an established JORC Resource of 17.2Mt, of which 84 per cent is in the Measured and Indicated categories, with an average grade of 17.6 per cent Total Heavy Minerals (THM), making it one of the highest-grade deposits in the global peer group. Additional exploration licences are under application. Further information on Capital Metals plc can be found on its website, https://capitalmetals.com.

Dominic Prentis, partner in Goodman Derrick’s specialist Capital Markets team advised Spark and Brandon Hill on the transaction, with assistance from Richard Pull and Michelle Waligora. Capital Metals plc were advised by Hill Dickinson as London Counsel and Harneys as British Virgin Islands Counsel.

Dominic commented,

“We were very pleased to advise on this successful transaction. The oversubscribed nature of the placing speaks for itself and is all the more impressive during a lockdown.”

For further information

Dominic Prentis, Partner, Corporate, +44 (0)20 7421 7956, dprentis@gdlaw.co.uk

James Caulfield, Head of Business Development, +44 (0)20 7421 7968, jcaulfield@gdlaw.co.uk

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