https://www.miningweekly.com
Africa
Africa
africa

Bushveld closes $35m convertible loan note with Orion Mine Finance

Bushveld CEO Fortune Mojapelo

Bushveld CEO Fortune Mojapelo

Photo by Creamer Media

9th November 2020

By: Marleny Arnoldi

Deputy Editor Online

     

Font size: - +

Aim-listed vanadium producer Bushveld Minerals has successfully concluded a $35-million convertible loan note instrument with Orion Mine Finance.

Bushveld CEO Fortune Mojapelo says Orion has, once again, shown strong support for Bushveld and its growth story.

“While we did receive widespread interest from other investors in the instrument, Orion’s willingness to upsize its investment in line with the terms of its existing commitment made them the natural investor for the entire $35-million.

“We welcome this vote of confidence in Bushveld. Importantly, we have agreed a 17p conversion price with Orion, representing a premium of about 39% to the Bushveld closing share price as at November 6, to limit dilution to existing shareholders.”

Orion initially agreed to subscribe for between $10-million and $20-million of convertible loan notes.

The issue of the convertible loan notes coincides with a $30-million long-term production financing agreement that Bushveld signed with Orion in September.

Under the financing agreement, Bushveld can draw a minimum of $10-million and a maximum of $35-million.

Between the drawdown and the instrument’s maturity date, Orion may convert an amount of the outstanding debt, including interest, into Bushveld ordinary shares, at the conversion price of 17p.

Bushveld will host a general meeting of shareholders on November 27 to propose the necessary resolutions to issue the additional shares.

The proceeds will go towards the Vanchem critical refurbishment programme.

Vanchem is a vanadium-producing facility in Mpumalanga, South Africa. Expanding Vanchem’s capacity will enable Bushveld to produce about 10 000 t/y of vanadium.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

Comments

Showroom

AutoX
AutoX

We are dedicated to business excellence and innovation.

VISIT SHOWROOM 
Weir Minerals Africa and Middle East
Weir Minerals Africa and Middle East

Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Photo of Martin Creamer
On-The-Air (01/12/2023)
1st December 2023
Photo of Martin Creamer
Jupiter Mines, Copper 360 and DRDGold make headlines
1st December 2023
Magazine round up | 01 December 2023
Magazine round up | 01 December 2023
1st December 2023

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.133 0.168s - 91pq - 2rq
Subscribe Now