Marengo signs refinancing deal with shareholder
PERTH (miningweekly.com) – ASX- and TSX-listed Marengo Mining has signed a refinancing agreement with its major shareholder Sentient Executive GP IV, which could see Sentient hold a majority interest in the copper developer.
Under the terms of the new agreement, Marengo would convert its unsecured interest-bearing debt facility of $3-million, as well as an interest of $55 065 with Sentient into 9% senior unsecured convertible debentures of $3.55-million, and would issue and sell Sentient 9% senior unsecured convertible dentures to a principal amount of $7-million.
Sentient would also be paid an establishment fee of 2% of the amount of investment debentures purchased, which would mature at the end of June 2016.
The debentures and interest debentures could be converted into common shares or Chess Depositary Shares of Marengo, at a conversion price of 1.5c each. Sentient and its entities currently hold a 22% interest in Marengo, and if all debentures issued were converted, would hold an 80% interest in Marengo.
Marengo told shareholders on Tuesday that the transaction would be subject to shareholder approval, as well as approval from both the TSX and the ASX.
The funds from the transaction would be used to develop the Yandera copper project, in Papua New Guinea, as well as for exploration and feasibility study work, and to fund working capital requirements.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Showroom
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
Industrial Nozzles & Systems (Pty) Ltd (Est. 2000) exclusive representative in Southern Africa for LECHLER GmbH (Est. 1879) - Europe's leading...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
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?
Receive 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)
➕
Recieve 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
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
