Diamond miner Petra Diamonds has completed the company’s recapitalisation programme.
Initially announced in October 2020, the recapitalisation, or restructuring, of the London-listed miner will see the partial reinstatement of its notes debt and the contribution by the holders of existing notes of $30-million in new money.
Each of these will take the form of a new senior second lien note.
The new notes amount to about $337-million, and the remainder of the notes debt will be converted into equity, resulting in the noteholder group holding 91% of the enlarged share capital of Petra.
CEO Richard Duffy says the completion of the restructuring is a “significant achievement” for Petra, and that it will provide the company with “a stable and sustainable capital structure, significantly reduced financial burdens and greater liquidity”, which will leave the company in a stronger position to focus on optimising the value of the company’s diversified asset base, and to deliver growth for stakeholders.