Finders erases debts
PERTH (miningweekly.com) – Metals developer Finders Resources has been wiped clean of its debt after Taurus Funds Management and Resources Capital Fund IV (RCF) requested a conversion of their outstanding convertible notes into Finders shares, at a price of 16.5c a share.
“The conversion request by RCF and Taurus is another strong vote of confidence in the Wetar project,” said Finders MD Chris Farmer.
“If it proceeds, it will leave Finders with a simpler balance sheet and a reduced funding requirement as we move into construction.”
Finders told shareholders that the full conversion would remove A$14-million of notes from the company’s balance sheet, leaving it debt free. It would also reduce the funding required for construction of the Wetar copper project.
In exchange, the ASX-listed Finders would issue some 84.4-million shares to Taurus and RCF.
However, this share issue exceeded Finder’s current capacity and the company said on Wednesday that it was in discussion with the two financiers on how to give effect to this conversion.
The full conversion would take Taurus’ interest in the company to 18% and RCF’s to 17%.
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