25th Apr 2016 09:19
LONDON (Alliance News) - DekelOil Public Ltd on Monday said it is making progress on completing the refinancing of its debt with West African Development Bank on "materially improved" terms.
The palm oil company said it is working with a subsidiary of French bank Societe Generale to refinance the current senior debt facility with West African Development Bank of EUR6.9 million with annual interest rate of 10.5%.
The completion of this is the "final part" of DekelOil's strategy to streamline its financing structure, and is "reflective of DekelOil's transformation into a fully operational and profitable palm oil company", it said.
DekelOil will provide a further update on final debt terms and the timing of completion in the near future, it said.
"We are making excellent progress in ensuring DekelOil has a balance sheet more befitting of our status as an established producer. Combined with further progress being made on the ground, as demonstrated by our record Q1 2016 production performance, and a first full quarter contribution from our recently commissioned kernel crushing plant, the strong momentum behind the business continues into 2016," said Executive Director Lincoln Moore in a statement.
Shares in DekelOil were up 1.7% at 1.48 pence Monday morning.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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