Completion of Fifth Financing Arrangement
(“Metal Tiger” or the “Company”)
Completion of Fifth Financing Arrangement
(AIM:MTR), the London Stock Exchange AIM listed investor in natural resource opportunities, is pleased to announce that it has entered into a further equity derivative collar financing arrangement (the “”) with the Lender pursuant to the Umbrella Facility.
The Fifth Financing Arrangement is secured over, in aggregate, 36,714 Sandfire Shares held by Metal Tiger, representing approximately 0.02% of Sandfire’s issued share capital.
Under the terms of the Fifth Financing Arrangement, Metal Tiger has:
Metal Tiger has the right to elect to settle the Put and the Call by way of physical delivery of Sandfire Shares or by way of a cash payment reflecting the value of the Put and Call at the time.
Costs of approximately associated with the Fifth Financing Arrangement (inclusive of all interest obligations and the net cost of the equity derivative collar for the term) have been deducted from the aggregate Further Loan proceeds, resulting in Metal Tiger receiving of cash proceeds. The net proceeds will be used to fund potential investment opportunities.
Metal Tiger can agree with the Lender to utilise the balance of Sandfire Shares held by it to increase the size of the financing arrangement at a later date. Following the Fifth Financing Arrangement, and together with the Initial Financing Arrangement, the Second Financing Arrangement and the Third Financing Arrangement (as announced on , , and 13 July respectively) (together the “”), (which has been adjusted accordingly for Sandfire’s 2020 half year dividend) is outstanding pursuant to the Umbrella Facility.
As announced previously, the Lender agreed to extend the date on which the Commitment Fee is payable (in the event the total balance outstanding is under ) to from . Following the Fifth Financing Arrangement, the maximum Commitment Fee payable by Metal Tiger is approximately .
The Arrangements are secured over, in aggregate, 2,609,887 Sandfire Shares held by Metal Tiger, representing approximately 1.44% of Sandfire’s issued share capital. Metal Tiger currently holds 6,296,990 Sandfire Shares.
Unless otherwise defined in this announcement, capitalised terms shall have the same meanings as set out in the announcement of .
For further information on the Company, visit :www.metaltigerplc.com
Notes to Editors:
is admitted to the AIM market of the London Stock Exchange AIM Market ("AIM") with the trading code MTR and invests in high potential mineral projects with a base, precious and strategic metals focus.
The Company's target is to deliver a high return for shareholders by investing in significantly undervalued and/or high potential opportunities in the mineral exploration and development sector. Metal Tiger has two investment divisions: Equity Investments and Project Investments.
invests in undervalued natural resource companies. The majority of its investments are listed on AIM, the TSX and the ASX, which includes its interest in (ASX: SFR). The Company also considers selective opportunities to invest in private natural resource companies, typically where there is an identifiable path to IPO. Through the trading of equities and warrants, Metal Tiger seeks to generate cash for investment for the Project Investments division.Equity Investments
is focused on the development of its key project interests in , where Metal Tiger has a growing interest in the large and highly prospective Kalahari copper/silver belt through its interest in .Project Investments
The Company actively assesses new investment opportunities on an on-going basis and has access to a diverse pipeline of new opportunities in the natural resources and mining sectors. For pipeline opportunities deemed sufficiently attractive, Metal Tiger may invest in the project or entity by buying publicly listed shares, by financing privately and/or by entering into a joint venture.
- entered into a stock lending arrangement with the Lender, pursuant to which the Lender (or an affiliate of the Lender) can borrow up to 36,714 Sandfire Shares from Metal Tiger;
- obtained the right (but not the obligation) to sell 36,714 Sandfire Shares to the Lender in three years’ time at 80% of the reference price, being (subject to customary adjustments) (the “”) (“”);
- granted the Lender the right (but not the obligation) to buy 36,714 Sandfire Shares from Metal Tiger in three years’ time at an agreed premium of 145% of the respective Reference Price (“”); andCall
- borrowed from the Lender, secured on a combination of the above with a maturity date of (the “”).
A$0.17m 27 July 2023Further Loan
(Chief Executive Officer)
Tel: +44 (0)20 7099 0738
(Chief Investment Officer)
Strand (Nominated Adviser)
Tel +44 (0)20 7409 3494
Arden Partners plc (Broker)
Tel: +44 (0)20 7614 5900
Camarco (Financial PR)
Tel: +44 (0)20 3757 4980
Quick facts: Metal Tiger PLC
Market Cap: £38.31 m
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