Business
Loan Facility and Issue of Equity
Loan Facility and Issue of Equity.
About this update from Eurasia Mining Plc
[{"type":"text","content":"\n \nRNS Number : 6983F Eurasia Mining PLC 19 May 2017 \n\nEurasia Mining plc (AIM: EUA)\n(\"Eurasia\" or the \"Company\")\nUp to US$ 2 million Loan Facility and Issue of Equity\nRelated Party Transaction\nTransaction by a PDMR \nEurasia announces that it has entered into new funding facilities for approximately US$ 2 million with three parties, including its existing funding provider Sanderson Capital Partners ('Sanderson'), a consortium of investors arranged through London based institution Riverfort Global Capital Ltd ('Riverfort') including Cuart Growth Capital Fund I ('Cuart') and YA II PN ('YA'), and finally, a further investment from the Company's non-executive director Dmitry Suschov\n \nHighlights:\n \n· All obligations regarding a previous Sanderson loan (see RNS dated 21 December 2016) have now been settled.\n· This comprehensive financing package of more than US$2 million has been designed to provide the Company with sufficient working capital, and\n· integrated with cashflow from the Company's operating mine at West Kytlim will allow the Company to carry out its 2017 objectives.\n \nChristian Schaffalitzky, Managing Director said: 'We feel our finances are now well arranged, especially in light of income from production at our West Kytlim Mine this year, in 2018 and for its projected 12-year life.'\n \nFurther details:\n \nSanderson Capital Partners financing\n \nThe loan agreement, entered into with Sanderson on 21 December 2016 (see RNS dated 21 December 2016) for a principal of £1 million has been repaid and a new facility comprising a principal amount of £250,000 has now been arranged with Sanderson Capital Partners Limited over a twelve-month term (the \"Sanderson Loan Agreement\"). The Sanderson Loan agreement is interest fee and has a repayment date of 12 May 2018 \n \nEurasia has applied for immediate drawdown of the Sanderson Loan, and accordingly a drawdown fee of 15%, and a 5% legal and documentation fee for a total of £50,000 are now due. This is to be satisfied by the issue of 10,526,316 ordinary shares at a price of £0.00475.\n \nUnder the terms of the Sanderson Loan Agreement the loan must be used for working capital purposes and Sanderson has the right (but not the obligation) to convert all or p...