Nordic Mines receives an offer to underwrite a rights issue
(Thomson Reuters ONE) -
Nordic Mines receives an offer to underwrite a rights issue
On 11 May 2017, Nordic Mines AB (publ) ("Nordic Mines" or the "Company")
received an offer from Lau Su Holding AB ("Lau Su"), the Company's largest
shareholder, which holds 21.7% of the ordinary shares of Nordic Mines, to
underwrite a rights issue to support the Company. The proposal is intended to
replace the transaction with Firesteel Resources Inc ("Firesteel").
The key terms of Lau Su's proposal are:
* SEK 69.1 million rights issue
* Price set at 0.285SEK per share
* USD 3.0 million of new investment by Lau Su
* Conversion of USD 1.2 million of loans previously provided by Lau Su, plus
interest at the rights issue price
* USD1.0 million to be made available immediately by way of a short term loan
to bridge the funding requirements of Nordic Mines
* Lau Su to lead a debt consortium to provide a minimum of US$6m of debt
financing secured against the Company's assets and the exclusive rights to
the Company's gold production for 5 years
* Lau Su to take control of the Company by way of having three out of four of
the directors of the Company following the rights issue
The board of directors of Nordic Mines has responded to Lau Su regarding some of
the terms of its proposal and will evaluate the proposal and any adjustments
thereto on its merits.
Nordic Mines has appointed financial advisers to assist the directors to
evaluate the proposal and compare it to the proposed transaction with Firesteel,
as announced on 10 April 2017 and updated on 9 May 2017. The board of directors
will make a recommendation to shareholders in due course. In the meantime the
Company continues to work to advance the transaction with Firesteel
For additional information, please contact:
D. Saradhi Rajan, CEO: +44 743 271 1564
Ole Eikeland: +47 900 60 666
For more information about Nordic Mines, please visit; www.nordicmines.com.
This information is Nordic Mines AB (publ) obliged to make public pursuant to
the EU Market Abuse Regulation. The information was submitted for publication,
through the agency of the contact person set out above, at 12:00 CET on 15 May
2017.
Nordic Mines is a Nordic mining and exploration company. The Laiva mine in
Finland produced gold between 2011 and 2014. The deposit is among the largest in
the Nordic region. Nordic Mines is a member of SveMin and applies its reporting
regulations for public mining and exploration companies. The Nordic Mines share
has been admitted for trading on Nasdaq Stockholm's Small Cap list. For further
information, see www.nordicmines.com.
20170515 NOMI Press Release:
http://hugin.info/138647/R/2104683/798695.pdf
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Nordic Mines AB via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 15.05.2017 - 12:00 Uhr
Sprache: Deutsch
News-ID 543910
Anzahl Zeichen: 3508
contact information:
Town:
Stockholm
Kategorie:
Business News
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