Sihayo signs loan agreement with Provident, Saratoga
Tuesday, March 17 2015 - 01:02 AM WIB
ASX-listed Sihayo Gold Limited said it has entered into Convertible Loan agreements with Provident Minerals Pte Ltd and PT Saratoga Investama Sedaya (SIS) on March 10, 2015.
Provident and SIS are both major shareholders of the company and each loan is for a total of US$500,000, the company said in a statement Tuesday.
The loans will have a 12 month maturity, 7 percent interest rate and may be converted to shares, at the option of the lender, at a rate of 70 percent 10 day VWAP at the time of conversion, it added.
?Directors have negotiated this outcome in the best interests of the company and all shareholders. As at 13 March 2015, the company has drawn $400,000,? Sihayo said.
The company said it finished the December half with a cash balance of A$88,000. There was $250,000 debts to Saratoga and Providence.
Editing by Reiner Simanjuntak