Rare Earth Minerals Plc
("Rare Earth Minerals" or "REM")
Conversion of Loan Note and Exercise of Options
Rare Earth Minerals Plc (AIM: REM; OTC: REMMY)) announces that US$250,000 of its US$15 million convertible loan have been converted into 31,340,633 new ordinary shares in the Company at a price of 0.65 pence per share.
After this exercise, the outstanding balance of the convertible loan is US$14.15 million. The convertible loan has an interest rate of 5%, and the principal is convertible at 0.65 pence which represent a premium of 5 % over the closing price on 8 August 2016, the day before the loan note was announced.
In addition, the Company has received notification from option holders to exercise options over 44 million ordinary shares at an exercise price of 0.06 pence per share per share, providing the Company with gross proceeds of £26,400.
Application will be made to the London Stock Exchange to admit the 75,340,633 new ordinary shares to trading on AIM. Admission of the new ordinary shares is expected to occur on or around 20 October 2016. The new ordinary shares will rank pari passu with the existing ordinary shares.
For the purpose of the Disclosure and Transparency Rules, following the issue of shares detailed above the enlarged issued share capital of the Company will comprise 7,626,890,669 ordinary shares with no Ordinary Shares held in treasury. Therefore the above figure of 7,626,890,669 may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in Rare Earth Minerals under the FCA's Disclosure and Transparency Rules.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
For further information, please contact:
Rare Earth Minerals plc +44 (0) 207 440 0647
WH Ireland Limited (Nomad & Broker) +44 (0) 207 220 1666
Square1 Consulting +44 (0) 207 929 5599
This information is provided by RNS