Triangle Energy Ltd (ASX:TEG) has successfully completed a bookbuild to raise $3.5m in a placement to sophisticated and professional investors through the issue of circa 269 million shares at 1.3c/share, including participation by the Company’s Directors. The funds raised from the Placement, together with the Company’s existing cash reserves and short term funding will be used for production well workover, completion of new oil export route and 3D seismic acquisition costs.

When an ASX-listed company announces a capital raising, it generally means it is selling more shares to raise money.

More often than not, the shares are sold at a discount to the company’s share price at the time to entice new and existing investors.

Shares of Triangle Energy Ltd traded down 6.7% following the announcement to $0.014/share.