Business
CORNISH METALS COMPLETES SUCCESSFUL PLACEMENT...
Cornish Metals plc has successfully completed an oversubscribed placement of US$210 million in new six-year senior secured bonds with a 13.5 per cent. annual coupon rate, with proceeds intended to fund the development and construction of the South Crofty tin project. The bond issuance, which saw strong demand from international investors, is a crucial step towards securing full funding for the project, with a final investment decision anticipated this summer. Settlement is expected around May 21, 2026, contingent on certain conditions, including an equity raise of at least US$161 million. Disclaimer*
About this update from Cornish Metals Plc
[{"type":"text","content":"\n\n \n NOT FOR DISTRIBUTION IN THE UNITED STATESCORNISH METALS COMPLETES SUCCESSFUL PLACEMENT OF US$210 MILLION NORDIC BOND ISSUE7 May 2026Cornish Metals plc (AIM: TIN) (“Cornish Metals” or the “Company”), is pleased to announce that it has successfully completed an oversubscribed placement of US$210 million of new six-year, callable senior secured bonds with a coupon rate of 13.5 per cent. per annum. The bond placement completed on 6 May and was met with strong investor demand across European, North American, and other international markets.HighlightsOversubscribed senior secured bond financing raising gross debt proceeds of US$210 millionThe main terms of the Bond debt financing structure are as follows:Simple structure with a fixed 13.5% p.a. coupon rate (payable quarterly) and six-year tenorIssue price of 98% of the nominal amount and maturity of 103.5% of the nominal amountNo principal repayments for 48 months; thereafter quarterly amortisation of 5% of the nominal amount and a 60% bullet repayment at maturity (in each case at 103.5% of the nominal amount)The bonds will be secured over the assets of the Company and its wholly-owned subsidiariesProceeds of the bonds will be applied towards funding the development and construction of the South Crofty tin projectDemand for the bonds was significantly higher than the amount raised and was supported by international institutional funds and natural resource specialist investorsThe directors believe that strong investor participation reflects confidence in the development case and robust economics of the South Crofty tin projectDon Turvey, CEO of Cornish Metals commented:“We are very pleased to have successfully completed this US$210 million bond fundraising, securing the debt portion for the South Crofty project financing. We are delighted to welcome our new bondholders to the Cornish Metals story, and we are grateful for the continued support of our existing shareholders. Project financing is progressing well and we expect to be fully funded and to announce the final investment decision for the South Crofty tin project this summer. With strong stakeholder support, robust economics and clear development momentum, we are well positioned to advance South Crofty towards production in mid-2028 and to deliver a secure domestic supply of tin for the western world.”Settlement and condi...