Silver Heritage to repay bonds and raise additional 8 4m
Asian operator and developer Silver Heritage Group has renegotiated the key terms of its outstanding bond payments.
Silver Heritage will be repaying up to $6.8m of its $18m worth of outstanding bond payments.
The company is also planning to raise at least $8.4m through an entitlement offer, worth $0.014 per new share.
The maturity date of the bonds has been extended by 19 months up until 2 April 2021, which extends the repayment schedule that Silver Heritage will have to abide by.
According to the new arrangement, the $18m repayment is not due for another 19 months and will also provide for a cash sweep for 31 March 2019.
This cash sweep ensures that any balances held by Silver Heritage over $5m at the end of the quarter will be put towards redeeming additional bonds.
This should offset the negative impact that came with the announcement of the company’s H1 results in which Silver Heritage requested to halt trading.