Pembridge Resources PLC (LON:PERE) said it is planning to issue convertible loan notes worth up to US$2mln to fund potential future investment opportunities.
The mining firm said it intends to issue up to 200 loan notes of US$10,000 with an interest rate of 14% redeemable after two years.
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Pembridge said the notes may be converted into company shares at any time from June 1, 2022, until May 31, 2023, at an exercise price of US$0.113.
The group added that it is marketing the notes to certain existing shareholders and other institutional and high net-worth investors and has already received commitments for a large proportion of them.
"Funding from these convertible loan notes will enable Pembridge to take advantage of opportunities that we anticipate to become available to Pembridge in the near term," chief executive and chairman Gati Al-Jebouri said in a statement. "I am pleased with the initial interest expressed by potential investors, which shows the support and belief in the intrinsic value of Pembridge."