Endomines solves the directed issue of convertibles LDA Capital Limited
Endomines AB (publ), Stock Exchange Release January 4, 2022 at 9:50 CET
Board of Directors Endomines AB (publ) (“Endomines” or “the Company”) is authorized by the Annual General Meeting June 10, 2021, resolved through a directed convertible bond with a total nominal value of EUR 2 000 000 (corresponding to 20 453 8001 SEK) LDA Capital Limited (“LDA”) (“Directed Number”), which provides the total return on an issue EUR 2 000 000.
The Targeted Anti will be implemented as part of a financial package that Endomines has entered into an agreement with the LDA, which was announced in a press release May 8, 2021. The financing package includes e.g. among other things, convertible bond agreement (the “Agreement”). Pursuant to the agreement, the Company will issue convertible bonds to LDA with a total nominal amount of SEK EUR 6 million in three installments in Swedish kronor, corresponding to EUR 2 million every. Endomines has undertaken to utilize and the LDA has undertaken to subscribe for and pay for the first two tranches and thus to issue, subscribe for and pay convertible bonds totaling SEK EUR 4 million within twelve months of the date of the financing package, while the third tranche is voluntary for the Company. The government has stated that now is considered an appropriate time to launch convertibles due, among other things, to the need for the Company to finance the ramp-up of the Friday mine and Pampalo mine projects in the United States. Finland. The Board of Directors has evaluated the various financing options and considers that the Anti-LDA to the Company and its shareholders under the Agreement is currently the best option for the Company and its shareholders compared to other possible financing options. Given the relatively limited size of the issue, the fact that the company will have quick access to capital, subscription levels in previous new subscriptions and after consulting the company’s significant shareholders, the Board will not hold a rights issue. suitable option.
Each convertible bond has a nominal value 10,000 euros (corresponding to 102 2691 SEK) and are issued at a subscription price of 100% of the nominal value of the convertible bond. Pursuant to the agreement, the exchange price corresponds to 85 percent of the daily volume-weighted average price of the Company’s share on Nasdaq Stockholm and Nasdaq Helsinki during the 15 trading days prior to the exchange request, which according to the Board is As long as the Company is subject to Swedish law, the conversion price may not be lower than the quota value of the share. No interest is accrued on the convertible bonds and the maturity of the loan is 18 months from registration in the Swedish Companies Register. The convertible bonds may be converted into new shares of the Company during the period from the date of registration with the Swedish Companies Registration Office until the maturity date. If the convertible bonds have not been exchanged before maturity, the Company has the right to either (i) redeem the remaining amount of the convertible bond on cash at maturity at a price equal to 115 per cent of the remaining amount or (ii) convert all outstanding convertible bonds at maturity.
The total return on the directed issue is EUR 2 000 000. According to the contract, Endomines pay the fee in total EUR 180 000 To the LDA. Payment will be made in two installments 90,000 euros each in connection with the first two tranches of the convertible bonds. Therefore, the net return on the directed issue is EUR 1 910 000.
The directed question is expected to be registered with the Swedish Companies Registration Office or approx January 12, 2022 After the registration of the directed issue and after the full conversion of the loan and assuming that the conversion price is set at the lowest possible conversion price (quota value SEK 2), the share capital will increase SEK 20,453,800, to SEK 472,041,692, and the number of shares and votes will increase by 10,226,900 shares to 236,020,846 shares and votes. This corresponds to a dilution effect of approximately 4.5% of the share capital and voting rights based on the full conversion.
Contact person
Seppo Tuovinen, Interim CEO, [email protected], +358 50 576 0143
This information was provided for publication through the above contact at 9:50 CET on January 4, 2022.
About Endomines
Endomines is a mining and exploration company with a focus on gold. The company is looking for gold in the Karelian gold line Eastern Finland and develop mining operations Idaho, United States and Finland. Endomines the goal is to improve its long-term growth prospects by increasing its mineral exploration operations and acquisitions. Endomines The aim is to obtain deposits that are located in stable jurisdictions and can be obtained quickly with limited investment in production.
The shares are traded on Nasdaq Stockholm (ENDO) and Nasdaq Helsinki (ENDOM).
1) Based on the Swedish Central Bank (Sw. Bank of Sweden) official EUR / SEK exchange rate 10.2269 SEK on December 30, 2021.
https://news.cision.com/endomines-ab/r/endomines-resolves-on-a-directed-issue-of-convertibles-to-lda-capital-limited,c3481279
https://mb.cision.com/Main/2472/3481279/1516930.pdf
(c) 2022 Ciision. All rights reserved., Source Press Releases – English