The London office of international law firm Hunton & Williams has advised Bellzone Mining plc, an iron ore and nickel/copper exploration and development company with assets in Guinea, West Africa, on a US$100M strategic investment by China International Fund Limited and an institutional placing of US$133M. Due to extremely strong institutional demand for the shares the institutional placing was increased from US$100M to US$133M.

On admission of the institutional placing shares to AIM, which is expected on 22 March 2011, the market capitalisation of Bellzone, based on the placing price, will be approximately US$930M. Canaccord Genuity Limited and Renaissance Capital Limited acted as joint brokers to Bellzone.

In March 2010 the Hunton’s team also advised Bellzone on its AIM admission and related share placing which raised US$50M, one of the largest fundraisings on AIM of 2010. 

Dearbhla Quigley, the Hunton & Williams Corporate Partner who led the team who advised Bellzone including senior associate Danny Heathwood commented: “We are delighted to have assisted the Bellzone team on another key transaction particularly as there was such strong demand for the institutional placing shares. The fundraising has raised in aggregate US$233M and is an important step for Bellzone in becoming a significant iron ore producer in the Republic of Guinea.”

She added: “AIM is a key financial market for raising equity capital for mining, exploration and development companies. Hunton & Williams has significant experience in the African mining, energy and infrastructure sectors and we expect the use of AIM as a vehicle to raise funds for mining companies to continue.”