BUZZ-Avocet Mining: placement eases funding worries, shares up a fifth

** Shares (Frankfurt: DI6.F - news) in Avocet Mining (LSE: AVM.L - news) , which has been plagued by funding worries, rise as much as 20 percent after company raises 700,000 pounds ($1.17 million) through a placing.

** Company's two largest shareholders subscribe to the bulk of 9.95 mln share offering.

** Avocet's stock price lost more than 85 percent of its value last year as a tumbling gold price accentuated the reserve downgrade and funding concerns.

** The miner says proceeds would be used for corporate activities, primarily in London and Guinea.

($1 = 0.5994 British Pounds) (karen.rebelo.thomsonreuters.com@reuters.net)