Emerging natural gas and helium producer Renergen, which is listed on the JSE and the ASX, has redeemed A$500 000 of convertible notes issued in December 2018.
The notes had an interest rate of 15% a year and were convertible into shares at an equivalent price of A$0.074 a share.
“Redemption of the notes is a positive development for Renergen. It improves the company’s capital structure, by reducing expensive debt from the balance sheet and limits the potential for existing shareholders to be diluted at a price per share far below the current share price,” CEO Stefano Marani said on Tuesday.