Source - RNS
RNS Number : 6401I
GCM Resources PLC
20 June 2017
 

20th June 2017

 

GCM Resources plc

("GCM" or the "Company")

(AIM:GCM) 

 

Settlement of Convertible Loan Facility

 

GCM Resources plc ("GCM" or the "Company"), a London based resource exploration and development company, is pleased to announce that it has concluded an agreement to fully settle its obligations under the  convertible loan facility agreement signed on 29 May 2015 ("Facility"). 

 

Agreement has been reached to extinguish the Company's obligations to repay the outstanding balance of £1,118,546 by the issuance of 10,501,932 ordinary shares in the Company, including shares issued in lieu of agreed fees as part of settlement. The effective average issue price is 10.65 pence per share. Of the 10,501,932 shares to be issued, 8,284,540 shares will be subject to a lock up of six months and 2,217,392 shares for twelve months.

 

The Company shall issue and allot 4,636,363 ordinary shares to Revenue Anchor Sdn Bhd and 5,865,569 ordinary shares to Oriental Eagle Group Limited within ten working days to complete the settlement of the convertible loan facility. Application will be made for the new ordinary shares, which represent approximately 13.44% of the Company's existing issued ordinary share capital, to be admitted to trading on AIM and a further announcement will be made in due course. 

 

The Executive Chairman of GCM, Datuk Michael Tang PJN, stated: "After many months of negotiations we are pleased to complete the settlement of the convertible loan facility and thereby consolidate GCM's financial position."

 

 

 

This announcement contains inside information as defined in Article 7 of the EU Market Abuse Regulation No 596/2014 and has been announced in accordance with the Company's obligations under Article 17 of that Regulation.

 

 

For further information:

GCM Resources plc

James Hobson

Finance Director

 +44 (0) 20 7290 1630

 

Bell Pottinger

Lorna Cobbett

+44 (0) 20 3772 2500

 

 

ZAI Corporate Finance Ltd

Nominated Adviser and Broker

Peter Trevelyan-Clark, Tim Cofman

+44 (0) 20 7060 2220


 

GCM Resources plc


Tel: +44 (0) 20 7290 1630


[email protected]; www.gcmplc.com


 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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