Business
New debt facility and notice of results
New debt facility and notice of results.
About this update from Active Energy Group Plc
[{"type":"text","content":"\n \nRNS Number : 5358J Active Energy Group PLC 13 June 2014 \n\nActive Energy Group Plc(\"Active Energy Group\" or the \"Group\" or the \"Company\" or \"AEG\")\nNew debt facilities and preliminary results timing\n \nOn 10 April 2014, Active Energy Group Plc (AIM:AEG), the fast-growing pan-European supplier of wood chip for the Biomass for Energy ('BFE') and MDF manufacturing industries, which is developing a unique high-energy Biomass fuel granule and granule manufacturing solution, announced inter alia that it had secured a US$2 million facility with its largest shareholder, Gravendonck Foundation, which holds approximately 27.4% of AEG's issued share capital (approximately 30.5% excluding shares held in treasury).\nThe Board now announces that on Thursday 12th June 2014, AEG secured an additional 365 day US$1 million facility from Gravendonck Foundation, also at an interest rate of 15% pa. This facility is intended to be used to finance the acquisition of a new wood cutting machine and a new rotor for the existing wood cutting machine at Yuzhny Port in Odessa, Ukraine, which AEG uses for its shipments of woodchip to MDF manufacturers in Turkey.\nThe Directors, having consulted with the Company's nominated adviser, consider the terms of this new Gravendonck facility to be fair and reasonable insofar as the Group's shareholders are concerned.\nThe Board also announces that AEG contemporaneously has entered into a facility agreement whereby an unrelated Ukrainian company, Industrial-Financial Company \"Ruteks\" Limited (\"Ruteks\"), will provide the Group up to 20 million Ukrainian Hryvnias (UAH), approximately US$1.7 million, which is repayable by 31 December 2014. This sum, which is provided under a Ukrainian Fiscal Incentive Programme, is intended to be used initially to finance the acquisition of additional volumes of timber which AEG would intend to convert to wood chip and ship to MDF manufacturers in Turkey. Under the terms of this agreement, Ruteks is entitled to a participation fee of US$5 per tonne on all shipments financed under this agreement. The Company has drawn down UAH10m of this facility.\nFinally, the Board anticipates that AEG will issue its preliminary results for the year ended 31 December 2013 in the second half of June.\nRichard Spinks, Active Energy Group CEO, commented: \"We are continuing to...