Woodbois Ltd (AIM:WBI, OTC:WODBF) shares jumped 17% to 0.70p after the company secured funding to transform its balance sheet.
The Africa-based forestry and timber group raised £6mln via a subscription with two private individuals, and agreed a debt-for-equity swap to capitalise an outstanding loan of US$2.25mln.
It said the financing package will enable it to satisfy its short-term debt obligations, ramp back up to full operational scale and to begin a Gabon afforestation pilot scheme as part of its new carbon credit arm.
The directors said they believe the package provides the company with sufficient working capital for at least the next 12 months.