JOHANNESBURG (miningweekly.com) – Aim-listed Bushveld Minerals’ Bushveld Vametco subsidiary has repaid the final $1-million due to Barak Fund under an $11-million bridge loan.
Bushveld Vametco had entered into the bridge loan with Barak as part of its acquisition of a 78.8% shareholding interest in Strategic Minerals Corporation from Evraz Group.
It had already repaid $8.8-million and $1.2-million in May and earlier this month respectively.
As previously reported, Bushveld Vametco will pay further outstanding fees and interest due to Barak by June 30.
“We are delighted to have fully settled the bridge loan in such a timely fashion as promised. We have worked well with the Barak team on the acquisition and are grateful for their support,” commented Bushveld Minerals CEO Fortune Mojapelo.
Analysts at SP Angel commented in a note on Thursday that the rapid repayment of the bridge loan highlighted the strength of cash flow coming from the Vametco plant.
"Shareholders can now look forward to reports on strong cash generation and on the further improvement of the business through increasing production, improved cost efficiencies and innovative new product generation," the analysts added.