Business
Convertible Loan Agreement
Convertible Loan Agreement.
About this update from Synergia Energy Ltd
[{"type":"text","content":"\n \n \n \n RNS Announcement\n \n \n \n \n \n \n 22 February 2023\n \n \n AIM: SYN\n \n \n \n \n Convertible Loan Agreement\n \n \n \n \n \n \n \n Synergia Energy Ltd (AIM: SYN) (the \"Company\") is pleased to advise that it has entered into a convertible loan agreement with certain sophisticated and/or professional existing and new shareholders to secure a new convertible loan facility of £650,000 (the \"Convertible Loan\").\n \n \n \n \n \n \n Summary of Key Terms of the Convertible Loan\n \n \n \n \n \n \n \n \n \n \n \n Maturity Date: \n \n \n \n \n \n 13 February 2024\n \n \n \n \n \n \n \n \n \n \n Option Date:\n \n \n \n \n \n 13 November 2023\n \n \n \n \n \n \n \n \n \n \n Interest Rate: \n \n \n \n \n \n 5%\n \n \n \n \n \n \n \n \n \n \n Conversion Terms:\n \n \n \n \n \n Option to convert the loan and interest payable (to that point) in the period between the Option Date and the Maturity Date. If conversion elected, loan principal and accrued interest is payable by the Company in new fully paid ordinary shares (\"Common Shares\") at a £0.0008 conversion price, equating to a maximum issue of, in aggregate, 853,125,000 new Common Shares. No option for the Company to elect to repay ahead of Maturity Date, or for the Company to elect repayment to be made in cash.\n \n \n \n \n \n \n \n \n \n \n Security: \n \n \n \n \n \n Unsecured\n \n \n \n \n \n \n \n \n \n \n Arrangement fee:\n \n \n \n \n \n None\n \n \n \n \n \n \n \n \n \n \n \n \n Standard form representations and warranties have been agreed between the Company and the Convertible Loan lenders. The Convertible Loan proceeds are expected to be received by 28 February 2023 and will be applied to general working capital purposes. \n \n \n \n \n \n \n Related Party Transaction\n \n \n \n \n \n \n Republic Investment Management Pte Ltd (\"Republic\") participated in £326,000 of the Convertible Loan and accordingly will be issued a maximum of 407,500,000 new Common Shares at Maturity (in the event that it elects to convert the principal and accrued interest at that time). Republic has a current shareholding in the Company of 16.8% and is therefore categorised as a Substantial Shareholder of the Company pursuant to the AIM Rules for Companies (\"AIM Rules\"). Ac...