2nd Mar 2015 09:48
LONDON (Alliance News) - Jubilant Energy NV Monday said its two Indian operating subsidiaries have got about USD4.8 million worth of unsecured loan facilities from Jubilant Enpro Private Ltd, its majority shareholder, money it will use to fund operations and repay and service debt.
The loan has a tenor of one year and an interest rate of 15.5% a year, Jubilant Energy said in a statement.
Jubilant Enpro Private Ltd is the holding company of Jubilant Energy (Holding) BV, which holds about 85% of the voting rights in Jubilant Energy NV. It is controlled by Shyam Bhartia and Hari Bhartia, who are co-chairmen of Jubilant Energy.
The loan is therefore deemed to be a related party transaction under AIM rules. "The Independent Directors of the company, having consulted with its nominated adviser, consider that the terms of the loan are fair and reasonable in so far as its shareholders are concerned," the company said.
Jubilant Energy shares were untraded in London Monday morning. The stock last traded at 10.l15 pence.
By Steve McGrath; [email protected]; @stevemcgrath1
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
JUB.L