Aurum Resources (ASX:AUE) will raise AU$10 million via the placement of about 28.6 million shares at AU$0.35 apiece, according to a Friday filing with the Australian bourse.

Proceeds will be used to cover costs for its Mako Gold (ASX:MKG) acquisition, including drilling at Mako's Napie project, feasibility study, environmental approvals for the Boundiali project in the Ivory Coast, and working capital, the filing said.

Aurum Resources shares fell 12% in afternoon trade Friday, while Mako Gold shares were down nearly 13%.

Price (AUD): $0.35, Change: $-0.05, Percent Change: -12.00%