Announcing the Signing of Corporate Refinancing Facility
Tuesday, 21 August 2012
(MELBOURNE) OceanaGold Corporation (ASX: OGC, TSX: OGC, NZX: OGC) (the
“Company”) is pleased to announce the signing of documents for the US$225
million corporate refinancing facilities discussed in the Company’s news release
on 16 July 2012.
HIGHLIGHTS
• US$225 million (previously announced US$220
million) term and revolving credit facilities put in place to be used, if
necessary, for repayment of convertible bonds maturing in December 2012 &
December 2013 and for general working capital purposes.
• Multinational
banking syndicate made up of Citibank N.A., BNP Paribas, HSBC, Barclays Bank
PLC, Nedbank Capital and Investec Bank (Australia) Limited.
• Results in a
stable balance sheet and strong liquidity
The US$225 million term and revolving credit facilities will provide
additional liquidity should it be required for:
- Repayment of the A$57.8
million convertible bonds maturing December 2012
- Repayment of the A$110.7
million convertible bonds maturing December 2013
- US$50 million working
capital facility
The facilities mature on 30 June 2015 and have common terms and conditions
amongst all participating banks. Pricing was negotiated separately with each
bank and contain normal up front and commitment fees.
Key conditions of the financing include:
• The Company
has agreed to purchase out-of-the money put options at a strike price of
US$1,400 per ounce gold for approximately 40% of its New Zealand production from
October 2012 to June 2013.
• OceanaGold will enter into a Forward Rate
Agreement for each series of A$ convertible notes prior to draw down of the US$
facility to eliminate foreign exchange risk.
• The Company will enter into an
additional US$25 million Convertible Revolving Credit Facility whereby
OceanaGold has the option to repay any drawn down funds with either cash or
issuance of ordinary shares. At this time, the Company does not intend to draw
down on this facility.
• The Group will provide an agreed package of security
and related conditions precedent.
Mick Wilkes, Managing Director & CEO commented, “We are very pleased to
finalise this corporate facility which will provide further stability the
balance sheet and allow us to remain focused on delivering the Didipio Project
in the Philippines over the next few months. The Company appreciates the strong
vote of confidence our new banking partners have shown in us and we look forward
to working with them well into the future as we grow our business with a focus
on delivering value to our stakeholders.”
New Holland Capital Pty Limited acted as the arranger of these facilities
with legal advice provided by Allens to the Company, and Gilbert + Tobin Lawyers
to the banks.
No comments:
Post a Comment