LONDON (Alliance News) - Golden Saint Resources Ltd said Friday that it plans to raise up to GBP250,000 through the issue of 8% transferable convertible loan notes.
The loan notes are convertible into ordinary shares at a discount of 20% to the average closing price per share during the 10 days immediate prior to the date of conversion, the company said. The loan note issue will not proceed unless a minimum amount of GBP50,000 is reached, Golden Saint Resources said.
Under the terms of the loan note, the company has agreed to deposit in escrow the first GBP125,000 from the proceeds of the sale of its inventory of diamonds until 540 days after the issue of the loan note, or if earlier, the date on which all loan notes have been repaid or converted.
The raising is being conducted via the Crowd for Angels (UK) Ltd online funding platform.
Shares in Golden Saint Resources were down 13% at 0.0476 pence Friday morning, one of the biggest fallers on AIM.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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