Sign up Australia
Proactive Investors - Run By Investors For Investors

Tethyan Resources to proceed with loan and convertible debenture issue

The private placement of shares posited back in November will not now take place
Roll of £20 notes
The company has cancelled a total of 800,000 outstanding stock options granted in August 2016

Director Michael Andrews has agreed to lend £350,000 (roughly C$600,000) to Tethyan Resources PLC (LON:TETH,CVE:TETH), interest free.

Southern Arc Minerals Inc (CVE:SA) has also advanced C$400,000 to Tethyan as part of a convertible debenture financing.

The debenture will bear interest annually at a rate of four percentage points above the London Interbank Offer Rate (LIBOR), and will have a maturity date of six months.

The debentures will be convertible into Tethyan shares on the same terms as the company's next equity financing, provided that Southern Arc's stake does not rise to 30% or above, as this would trigger a mandatory offer for the company.

The loan and convertible debenture are subject to the approval of the TSX Venture Exchange.

Having made alternative financing arrangements, the company will not be proceeding with its previously announced private placement.

READ Tethyan Resources poised to raise up to $3.15mln via placing

Shares in the minerals exploration company were up 3.8% in Canada following the announcement.

View full TETH profile View Profile

Tethyan Resources PLC Timeline

Newswire
February 27 2018

Related Articles

logan_=_brik_prperty.png
June 21 2017
Last year, it struck an option deal with Pilot Gold Inc, whereby it can evaluate nine exploration projects
Copper in periodic table
May 02 2018
Bezant has a huge copper resource under licence in the Philippines
argent-minerals-MD-david-busch-presenting-in-Melb--Feb-2017.jpg
July 27 2017
David Busch discussed exploration plans at Proactive's CEO Sessions.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use