Business
Sailfish Announces Gold-Linked Loan Agreement with Mako Mining Corp.
Sailfish Announces Gold-Linked Loan Agreement with Mako Mining Corp. Canada New...
About this update from Sailfish Royalty Corp.
[{"type":"text","content":"\n \n \n \n Sailfish Announces Gold-Linked Loan Agreement with Mako Mining Corp.\n \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 Canada NewsWire\n \n \n \n \n TORTOLA,\n \n British Virgin Islands\n \n ,\n \n Aug. 30, 2021\n \n /CNW/ - Sailfish Royalty Corp. (TSXV: FISH) (OTCQX: SROYF) (the \"\n \n Company\n \n \" or \"\n \n Sailfish\n \n \") is pleased to announce that that it has entered into a loan agreement with Mako Mining Corp. (\"\n \n Mako\n \n \") dated\n \n August 27, 2021\n \n (the \"\n \n Loan Agreement\n \n \"), pursuant to which the Company agreed to provide a\n \n US$8 million\n \n unsecured gold-linked term loan (the \"\n \n Term Loan\n \n \") to Mako.\n \n \n \n \n \n \n \n \n \n The proceeds of the Term Loan will be used by Mako to refinance existing short-term debt, specifically, the repayment of all outstanding principal and accrued interest totaling approximately\n \n US$6.2 million\n \n owing to Nebari Resources Credit Fund I, LP (\"\n \n Nebari\n \n \") and approximately\n \n US$1.8 million\n \n of principal owing to funds managed by Wexford Capital LP (\"\n \n Wexford\n \n \").\n \n \n As compensation for making the Term Loan available to Mako, Sailfish shall be entitled to certain cash compensation based on the prevailing price of gold (the \"\n \n Lender Compensation\n \n \"). Mako will make 24 monthly cash payments to Sailfish on account of the principal amount of the Term Loan and the Lender Compensation, which shall equal the cash equivalent of 205 ounces of gold multiplied by the preceding month's average gold price with a floor of\n \n US$1,750\n \n and a ceiling of\n \n US$2,000\n \n pursuant to the terms of the Loan Agreement. The Term Loan does not have any operational negative covenants or balance sheet covenants, and there are no restrictions on dividends and/or share repurchases.\n \n \n Upon the occurrence of an event of default under the Loan Agreement, all outstanding amounts, including applicable premiums become immediately due and payable and interest on such amounts will accrue at a rate of 12% per annum, accruing dai...