Trowers & Hamlins has advised existing AIM-traded client EastCoal Inc. on its placing to raise £4.93 million (CAN$7.7 milllion).

The funds raised through the placing will be used to consolidate EastCoal Inc.'s working capital position, fund capital expenditure and repay certain outstanding indebtedness.  As EastCoal Inc. is also listed on the TSX-V in Canada, in recognition of the fact that the placing will be dilutive, the company has conditionally undertaken to the TSX-V that it will complete a rights offering to shareholders within 75 days of the date of admission of the placing shares to the TSX-V and AIM.

EastCoal Inc. is a mineral exploration and development company engaged in the development of significant coal mining interests in Ukraine.  Trowers & Hamlins advised the company on its admission to AIM in December 2012.

Richard Hildebrand, client partner, commented on the placing:  "We were pleased to assist the Company in its fundraising and wish it well in the next stage of its development."

Corporate partner Richard Hildebrand led the team and was assisted by corporate partner Charles Wilson and corporate solicitor Yasha Gosrani.

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