[miningmx.com] – COAL of Africa (CoAL) confirmed finalisation of a R210m loan from Investec Bank which it would use for general corporate purposes and would be drawn-down as it progressed with the sale of its non-core assets Woestalleen, Mooiplaats, Opgoedenhoop and Holfontein.
The loan structure includes the issue of 20 million options to Investec Securities exercisable at R1.32 before October 2018. The share is currently trading at R1.34/share.
The first tranche of the funds will be available immediately totalling R105m (about $10.7m). “It is forecast that the proceeds generated from sale of the non-core assets, once completed will be sufficient to settle the facility,” the company said.
