5th Jun 2014 11:15
LONDON (Alliance News) - Green Dragon Gas Ltd Thursday said it has issued a USD50 million second tranche of the convertible bond facility it first announced in December, with the whole tranche taken again by the Singapore government's sovereign wealth fund GIC Private Ltd.
In a statement, the coalbed methane gas producer in China said the the convertible bond is unsecured, has a 7% coupon, a 36 month maturity, and is convertible into ordinary shares at a conversion price of USD9.34 a share.
Green Dragon launched a convertible bond facility of up to USD100 million on December 16, and the first tranche of USD35 million was also fully subscribed by GIC Private. At that time, it had expected to issue a final tranche of the bond by the end of December.
It is using the money for working capital and to help develop its assets. It is also talking with potential lenders about debt facilities that it would use to expend its drilling programme.
Green Dragon shares were up 8.8% at 535.90 pence Thursday.
By Steve McGrath; [email protected]; @stevemcgrath1
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