12th Dec 2019 15:49
(Alliance News) - Avesoro Resources Inc on Thursday said it has entered into a loan agreement of up to USD8.5 million with Avesoro Jersey Ltd to assist with "satisfying" its near-term cashflow needs.
The West Africa focused gold producer said it intends to draw down the entire amount available under the facility in the "coming days", with the funds being made available for general working capital purposes.
The new loan is unsecured and is subordinated to the company's existing facilities, Avesoro said.
The company also noted that interest will be charged on the drawn amount at a fixed rate of 3.0% per annum. The facility is due to be repaid in full no later than 12 months following drawdown.
Avesoro shares were trading 0.9% lower in London on Thursday at 97.61 pence each.
By Evelina Grecenko; [email protected]
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