LONDON (ShareCast) - (Sharecast News) - Gunsynd reported strong returns from its investment in 1911 Gold Corporation on Tuesday, following a managed programme of share sales and warrant exercises that has reduced its stake but delivered significant cash proceeds.
The AIM- and AQSE-traded company said it sold 2.77 million shares in 1911 Gold for CAD 0.66m, and exercised all its warrants over 5.83 million new shares at 10 Canadian cents each for total consideration of CAD 0.58m.

Of those, four million shares were subsequently sold for CAD 1m, resulting in net proceeds of £0.32m after deducting the exercise cost.

As of 22 August, Gunsynd retaineed 1.83 million shares in 1911 Gold, valued at about £0.26m and representing roughly 1% of the Canadian company's issued share capital.

"It is really pleasing to be able to update shareholders with the news of this managed sell down of our 1911 Gold investment," said director Peter Ruse.

"The share price and returns have exceeded expectations from our initial investment at six Canadian cents in December 2023.

"The board of Gunsynd continues to hold a material shareholding on the balance sheet to capture further upside which I remain confident the company will deliver."

He added that Gunsynd remained committed to the Rice Lake gold district following its full acquisition of the Barb Gold project, located next to 1911 Gold's True North mine, and planned to collaborate on logistics and technical resources as exploration spending increases.

At 1008 BST, shares in Gunsynd were up 10% at 0.11p.

Reporting by Josh White for Sharecast.com.

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