Business
Mountain Province Diamonds Prices New US$330,000,000 Senior Secured Second Lien Notes
Mountain Province Diamonds Prices New US$330,000,000 Senior Secured Second Lien Notes ...
About this update from Mountain Province Diamonds Inc.
[{"type":"text","content":"\n\n\n\nMountain Province Diamonds Prices New US$330,000,000 Senior Secured Second Lien Notes\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\n\nCanada NewsWire\nTORONTO and NEW YORK, Dec. 1, 2017\n\n\n\nTSX and NASDAQ: MPVD\n\n\n\nTORONTO and NEW YORK, Dec. 1, 2017 /CNW/ - Mountain Province Diamonds Inc. (\"Mountain Province\", the \"Company\") (TSX and NASDAQ: MPVD) today announces the pricing of its offering of US$330,000,000 senior secured second lien notes due December 15, 2022 (the \"Notes\"), which are being offered on a private placement basis to qualified institutional buyers pursuant to Rule 144A under the U.S. Securities Act of 1933, as amended (the \"U.S. Securities Act\") (\"Rule 144A\") and outside the United States pursuant to Regulation S under the Securities Act (\"Regulation S\").  The coupon of the Notes will be 8.000% per year from the date of issuance, payable semi-annually in arrears.  The notes will be issued at 97.992% of the aggregate principal amount.  The Notes include a call provision allowing 10% of the aggregate amount of the securities issued to be called per year at 103% of par during the first two years.  The offering is expected to close on December 11, 2017, subject to customary closing conditions.\n\nConcurrent with the closing of the Notes offering on December 11, 2017, the Company intends to enter into a US$50 million first lien revolving credit agreement (the \"Revolving Credit Agreement\") with a banking group in order to maintain a liquidity cushion for general corporate purposes.\n\nMountain Province intends to use the net proceeds from the offering of the Notes, together with cash on its balance sheet, to fully repay and terminate its US$370 million project loan facility (of which US$357 million was outstanding as of September 30, 2017), to fully repay amounts owing to De Beers Canada, the operator of the Gahcho Kué diamond mine, for historic sunk costs related to the development of the mine (of which approximately C$48.5 million of costs and accumulated interest was outstanding as of September 30, 2...