Finders shareholders support capital raising

 
TIDMFND 
 
6(th) October 2010 
 
                           FINDERS RESOURCES LIMITED 
 
 
                  Finders shareholders support capital raising 
 
Finders   Resources   ('Finders')   is  pleased  to  announce  it  has  received 
overwhelming  shareholder support for its capital raising. Shareholders voted in 
favour  of the capital raising, by a show of hands at a shareholder meeting held 
today in Sydney. 
 
Proxies received were as follows: 
 
=------------------------------------+-+----------+-------+----------+--------- 
                                     | |   For    |Against| Abstain  |  Open 
=------------------------------------+-+----------+-------+----------+--------- 
                                     | |          |       |          | 
=------------------------------------+-+----------+-------+----------+--------- 
  Resolution 1: Ratify issue of      | |          |       |          | 
 28,076,000 Shares to Placement      | |35,890,411|    Nil|24,297,548|3,719,637 
 Investors                           | |          |       |          | 
=------------------------------------+-+----------+-------+----------+--------- 
                                     | |          |       |          | 
=------------------------------------+-+----------+-------+----------+--------- 
  Resolution 2: Approve the placement| |          |       |          | 
 of up to 47,000,000 Shares to       | |35,785,441|104,970|24,297,548|3,719,637 
 Placement Investors                 | |          |       |          | 
=------------------------------------+-+----------+-------+----------+--------- 
 
The  total  capital  raising  amounted  to  $20.95  million  via  a placement to 
institutional  and sophisticated investors. Under the offer, new ordinary shares 
will  be issued  at A$0.28  per share,  a discount  of approximately  10% to the 
trading price of Finders shares prior to announcement of the raising. 
 
The  capital raising  was conducted  via a  placement made  in two tranches. The 
first  tranche was  a placement  of 28.07 million  shares to raise $7.86 million 
which settled on 3(rd) September 2010; the second tranche involves the placement 
of 46.75 million shares to raise $13.09 million. 
 
Funds  raised will be applied  to the near term  development of the Wetar Copper 
project, capital equipment purchases, payment of environmental bonds, relocating 
the Whim Creek plant from Australia and completion of a revised capital estimate 
for the planned expansion to 23,000 tpa copper cathode. 
 
Russell Fountain, Finders Chairman, said: 
 
"The  Board of Finders is  delighted at the support  shareholders have shown the 
company  and  the  capital  raising  initiative.   The  funds  will be extremely 
important to the company. 
 
"The  price of Finders  shares has traded  well above the  capital raising price 
since it was announced, most recently at around A$0.37 per share. I believe this 
shows  that the market is beginning to  appreciate the future of the company and 
its long term prospects. 
 
"Finders  is one of very few emerging copper plays for Australian investors. The 
robust economics underpinning our Wetar project, combined with the experience of 
our management and the support of the local Indonesian community, auger well for 
a healthy and profitable future for the Company," he said. 
 
Following  completion of the  capital raising Finders  will be joined by several 
new  institutional investors,  along with  the existing substantial shareholders 
Resource  Capital  Funds,  Taurus  Funds  Management,  Acorn Capital and Straits 
Resources. 
 
The placement was managed by Blackswan Equities. 
 
 
                                   -- ends -- 
 
 
 
 
 
 For further information please contact 
 
 Finders Resources Ltd: 
 
 Russell Fountain   Non-Executive Chairman        [phone] 
 
 Chris Farmer       Managing Director             [e-mail] 
 
 Financial PR / Investor Relations: 
 
 Stuart Carson      FD Third Person (in Sydney)   [phone] 
 
 Nick Elwes         College Hill (in the UK)      [phone] 
 
 RFC Corporate Finance Ltd - Nomad: 
 
 Rob Adamson        Managing Director             [phone] 
 
 Stuart Laing       Executive Director            [phone] 
 
 finnCap -  Finders' Broker for the AIM market: 
 
 Matthew Robinson   Corporate Finance Director    [phone] 
 
 Joe Lunn           Analyst                       [phone] 
 
 
[HUG#1449423] 
 
 
 
 
 
 
 
 
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Source: Finders Resources Limited via Thomson Reuters ONE