Iofina PLC (LON:IOF) has confirmed that it has now completed a US$20mln debt restructuring, which removes uncertainty over its balance sheet and opens up a fresh US$10mln facility.
The company, which specialises in the production of iodine and iodine derivatives, first announced the terms of the debt deal back in June.
Convertible notes with a face value of US$20mln are now redeemable on June 1 2019, and can be exchanged in three tranches – priced at 18p, 25p and 32p respectively. Interest, charged at 5%, can be rolled up and capitalised.
The separate US$10mln facility carries 6% interest, and is also repayable on June 1 2019.
Dr Thomas Becker, Iofina chief executive, said: "The board is delighted to announce the completion of the documentation for the convertible debt restructuring and the additional debt facility, the terms of which were first announced in June.
“Iofina values the partnerships with Panacea and Stena and the group now has additional resources to execute growth plans."
Separately, Iofina released its interim results statement for the six months to June 30.
Iofina’s first half revenues increased to US$11.58mln, up from US$11.06mln in 2015. The company reported a US$2.18mln loss, including a US$469,263 impairment relating to the Montana water depot project.
Earnings (EBITDA) amounted to US$180,437 for the period, compared to US$1.4mln in the comparative months of 2015.
The company ended June with US$3.75mln of cash.
It highlighted that iodine production targets were met, with 255.6 million tonnes produced, an achievement it has now made for three six-month periods in a row.
Sales set new company records, though prices fell for large consumers to US$24 per kilogram or less during the period and Iofina noted that generally they are slightly below that level currently.
“Despite the decline in the price of iodine, it is encouraging to see that the demand and use in various applications continues to grow,” Becker said.
“The group is on track to reach H2 production targets of 250MT - 270MT of crystalline iodine.''
He added: “"The board is pleased to announce a strong first half in terms of production for the group, ensuring it remains the second largest producer of iodine in North America.
“Iofina Resources has performed exceptionally well and has achieved H1 production targets, whilst Iofina Chemicals has exceeded H1 2015 revenues.”