18th Sep 2013 17:25
LONDON (Alliance News) - Red Rock Resources PLC Wednesday said it issued an unsecured convertible loan note of GBP300,000 to YA Global Master SPV Limited, in order to fund its business in Kenya and to provide working capital for the company.
Meanwhile, the company said its board members waived the remaining 12 million options issued at prices between GBP0.02 and GBP0.05, as announced January 29. "This action nullifies the entirety of the 39,000,000 options previously announced on that date," the company said in a statement.
"The Red Rock board and senior staff have demonstrated their willingness to support the firm in its financing efforts. By sacrificing potential short-term personal upside in the form of employee options, we've created additional flexibility to fund the business as we look to drive our on-going sale processes in Colombia and Greenland towards a conclusion," Andrew Bell, chairman, said in a statement.
The notes yield 10% per annum and are convertible to ordinary shares for up to one year at a price determined by a formula based on the share price in the 12 days following notice of conversion.
The notes fall for repayment on 18 September 2014 if not previously converted.
The company said it will give an update on its activities later this week.
By Samuel Agini; [email protected]; @samuelagini
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