** Shares of Southern Palladium SPD.AX fall 9.6% to A$1.12, their lowest level in two weeks

** Set for worst session since September 30, if current losses hold

** Mining co to raise A$20 million ($13.00 million) at A$1.10 per share in a placement

** Issue price represents a discount of 12% to stock's last close

** Stock up 88.3%, YTD

($1 = 1.5389 Australian dollars)

(Reporting by Jasmeen Ara Shaikh in Bengaluru)

((Jasmeenaraislam.Shaikh@thomsonreuters.com;))