Midwest Gold has announced that its board of directors has approved the establishment of a new subsidiary in Sierra Leone, a strategic move designed to enhance the company's Heavy Mineral Sands (HMS) reserves and support future growth initiatives.

Strategic Expansion into Sierra Leone

The board's decision to green-light the subsidiary setup represents a significant step in Midwest Gold's expansion strategy. Sierra Leone, known for its rich mineral deposits, offers substantial opportunities for HMS extraction and development.

HMS Reserves Enhancement Strategy

The new subsidiary will focus on boosting the company's HMS reserves, which are crucial for the company's long-term operational sustainability. Heavy Mineral Sands contain valuable minerals that are essential for various industrial applications, making this expansion strategically important for Midwest Gold's portfolio diversification.

Growth Implications

This subsidiary establishment aligns with Midwest Gold's broader growth objectives, positioning the company to capitalize on emerging opportunities in the African mining sector. The move demonstrates the company's commitment to expanding its geographical footprint and strengthening its resource base for future operations.

Midwest Gold Limited has successfully completed a significant capital raising exercise through the allotment of equity shares on a preferential basis to non-promoter investors. The Board of Directors approved this strategic move during their meeting held on December 31, 2025, marking a substantial milestone in the company's growth trajectory.

Share Allotment Details

The company allotted 10,00,000 equity shares of ₹10 each at an issue price of ₹1,500 per share, generating total proceeds of ₹150 crores. This preferential allotment was conducted in accordance with Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, and the provisions of the Companies Act, 2013.

Major Investors and Allocation

The allotment was distributed among 27 non-promoter investors, with institutional and individual participants. The largest allocation went to Vikasa India EIF I Fund, which received 3,46,670 shares for ₹52.00 crores. Other significant investors include Chiranjeev Singh Saluja and India Emerging Giants Fund Limited, each receiving 1,33,330 shares for ₹19.99 crores respectively.

Impact on Share Capital

Following the successful allotment, the company's capital structure has been strengthened significantly. The issued and paid-up equity share capital increased from 1,10,47,946 equity shares to 1,20,47,946 equity shares of ₹10 each, representing a 9.05% increase in the total number of shares outstanding.

Regulatory Approvals and Next Steps

The company had previously received in-principle approval from BSE Limited for the issuance of these equity shares on December 18, 2025. The newly allotted shares will rank pari passu with the existing equity shares of the company in all respects. Midwest Gold Limited will apply for listing and trading approval from the stock exchange for these equity shares in due course.

The Board meeting, which commenced at 4:45 PM and concluded at 5:10 PM on December 31, 2025, was conducted under the regulatory framework of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This successful capital raising exercise positions the company for its next phase of growth and expansion plans.