Kingsrose raises a further $1m through convertible facility
Thursday, April 20 2017 - 01:42 AM WIB
ASX-listed Kingsrose Mining Limited (KRM) announced Wednesday it has raised approximately a further A$1 million through secured convertible loan facility agreements.
The company last month raised A$5.4 million, thus bringing the total amount raised from the convertible loan facility to A$6.4 million to assist with the ongoing restructure of its financial arrangements and operations at the Way Linggo gold project in South Sumatra.
?The funds raised under the convertible facility will be applied to the ongoing restructure of KRM, to provide working capital for the company and to provide funding to its 85 percent owned subsidiary PT Natarang Mining, the owner and operator of the Way Linggo project,? KRM said in a statement.
The convertible facility can be converted to equity at four cents per share. Under the terms of the convertible facility, if a majority in value of the lenders under the convertible facility (lenders) elect to convert their loans, then the entire amount outstanding under the convertible facility will be converted (subject to shareholder approval).
To date KRM has received conversion notices for 74 percent in value of the total funds raised from lenders confirming they wish to convert their facility into shares. Shareholder approval for the issue of new shares in respect of the conversion will be sought in due course. Quotation of the shares, (which will rank pari passu with existing KRM shares) will also be sought.
Elsewhere, Kingsrose said Mike Moore has resigned as Chief Executive Officer with effect from April 12, 2017. ?The administrators thank Moore for assistance during the administration,? the company said.
Editing by Reiner Simanjuntak