Acorn to convert loan into shares
Monday, December 17 2012 - 04:30 AM WIB
ASX-listed Finders Resources Limited announced that Acorn Capital ("Acorn") has elected to convert its outstanding loan of A$2 million to shares at a conversion price of 20 cents.
Under the terms of the loan, Acorn can elect to convert their notes into shares when Finders agrees to undertake an equity issue.
Finders' Managing Director, Chris Farmer said "Acorn is a highly regarded investor in the mining sector and has been a long-term, significant supporter of Finders. We appreciate the strong vote of confidence and inherent recognition of upside at a time when market conditions are tough for emerging resource companies, particularly those with an Indonesian focus. Finders looks forward to commencing construction on the Wetar copper project in 2013, with near term production expected from existing SX-EW facilities on site."
It said that the conversion would reduce the amount of funding required for the Wetar copper project as the notes will no longer need to be repaid.
Editing by Adianto P. Simamora