https://www.miningweekly.com

Galaxy secures funding to repay debt

17th November 2015

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

Font size: - +

PERTH (miningweekly.com) – ASX-listed Galaxy Resources has secured a A$31-million debt facility from OCP Asia to repay the balance of its outstanding convertible bonds.

The OCP facility would have a three-year term and would be secured against Galaxy’s assets. The facility would carry a coupon of 10% a year.

In addition, OCP would receive a one-time facility fee equivalent to 8% of the loan along with ten-million warrants with an exercise price referenced to Galaxy’s share price in six months, which would be exercisable until the maturity date of the facility.

The 8% fee would be payable in Galaxy shares, priced at a historical 20-day volume weighted average price up to the date of the first drawdown.

“This debt refining is a major milestone and marks the final stage of the company’s balance sheet restructuring that has taken more than two years to complete,” said Galaxy MD Anthony Tse.

“Galaxy is now financially very well positioned, with a significantly strengthened balance sheet, as well as near-term cash flow expected from the restart of Mt Cattlin at the end of the first quarter in 2016.”

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

Article Enquiry

Email Article

Save Article

Feedback

To advertise email advertising@creamermedia.co.za or click here

Showroom

Rio-Carb
Rio-Carb

Rio Carb is an OEM (Original Equipment Manufacturer) of R-C700 Chromium Carbide (CrC) alloy clad wear plates and pipes used for heavy materials...

VISIT SHOWROOM 
WearCheck
WearCheck

Leading condition monitoring specialists, WearCheck, help boost machinery lifespan and reduce catastrophic component failure through the scientific...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

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:0.042 0.708s - 110pq - 2rq
Subscribe Now