Business
Working Capital Facility
Working Capital Facility.
About this update from Andrada Mining Limited
[{"type":"text","content":"\n \nRNS Number : 2553J AfriTin Mining Ltd 16 August 2019 \n\n16 August 2019\n \nAfriTin Mining Limited\n(\"AfriTin\" or the \"Company\")\nWorking Capital Facility \n&\nRelated Party Transaction\nAfriTin Mining Limited (AIM: ATM), a tin mining company with assets in Namibia and South Africa, is pleased to announce that the Company has agreed a £2.4m working capital facility with Nedbank Namibia (\"Nedbank\"). \nNedbank Namibia Working Capital Facility \nA working capital facility (the \"Nedbank Facility\") of N$35,000,000 (c. £2.0 million) and a VAT facility for N$8,000,000 (c. £456,000) has been entered into today between the Company's subsidiary, AfriTin Mining Namibia Proprietary Limited and Nedbank. \n \nThe salient terms of the Facility are as follows:\n \n· A VAT facility for N$8,000,000. This Facility is simply secured by assessed/audited VAT returns (refunds) which have not been paid by Namibia Inland Revenue yet;\n· For the remaining N$35,000,000, the loan is repayable in full on the date being 12months from the date of execution and Interest accrues on the loan at a rate of JIBAR plus 3.658% (being approximately 10.7%);\n· The Loan has a Facility fee of N$200,000 and an annual renewal fee of N$115,000; and\n· Both AfriTin, as the parent company of AfriTin Mining Namibia Proprietary Limited, and Bushveld Minerals Limited (\"Bushveld\"), a shareholder holding approximately 8% of the Company, have offered surety for the loan to Nedbank as collateral in the form of a joint suretyship from AfriTin and Bushveld. \no The Bushveld suretyship will be limited to N$30,000,000 (i.e. the current standby working capital facility amount); and, \no In the unlikely event of default, Nedbank will first call on the suretyship of the parent company of the AfriTin Group (i.e. AfriTin Mining Limited). In the event that AfriTin Mining Limited cannot make payment, it is only at this point that Nedbank will call upon the Bushveld suretyship of N$30,000,000.\n \nRelated Party Transaction\nAs announced on 22 May 2019 (the \"Announcement\"), AfriTin and Bushveld had entered into a £1.7m (ZAR 30m) Standby Working Capital Facility (\"SWC Facility\"). However, it has been agreed ...