Trident Royalties PLC on Monday said that it has signed a previously-announced agreement for a revolving credit facility with BMO Capital Markets Ltd and CIBC.
Trident is a mining royalty and streaming-focused company, providing investment exposure to base, battery, precious and bulk metals.
The deal is for a $40 million revolving credit facility, with an option to increase the facility to $60 million via an accordion feature. It has a three-year term, with a one-year extension option.
Trident said the proceeds will be applied to retire the existing $40 million secured debt facility provided by Macquarie Bank Ltd.
‘The implementation of this new revolving debt facility will reduce our cost of capital, and represents a critical dimension of our broader strategy for Trident. This refinancing introduces a flexible lower-cost debt facility...greatly increases our ability to deploy capital and support future acquisitions alongside our strong balance sheet,’ said Chief Executive Officer Adam Davidson.
He added: ‘We are pleased that both BMO and CIBC, who are leading financiers to the sector, share in our long term vision for building a substantial diversified mining royalty business.’
Trident Royalties shares were trading 1.5% higher at 34.75 pence each in London on Monday morning.
Copyright 2024 Alliance News Ltd. All Rights Reserved.
