Afarak Group PLC (LON:AFRK) said late on Wednesday that it has made agreements regarding its funding after securing the combination of an off-take agreement for chrome ore and several financing deals.
Under the off-take agreement, the group said it will deliver goods from its South African mines from July 2019 to July 2023 and against these deliveries will receive a prepayment for the goods.
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In addition, Afarak added, it has made several financing agreements at standard market terms for the industry.
Through the above arrangements, the company said it will have secured ample funding to proceed with the repurchase of shares as well as ensuring a satisfactory conduct of the regular business operations.
It added that the authorisation to execute a public tender offer for its own share was conditional, among other things, on funding with acceptable terms and conditions and it said this condition has now been met.