(Sharecast News) - Anglo Asian Mining has made the final repayment of its bank loan finance, it announced on Wednesday, and was now debt-free.
The AIM-traded firm had completed a refinancing loan with Pasha Bank for $15m (?11.57m), of which $13.5m was drawn down, at a 7% interest rate per annum in February 2018.
On 10 February 2020, the company paid the final instalment of that refinancing loan, meaning iits balance sheet was now debt free.
"I am delighted to announce that the Company has made the final repayment of the Pasha Bank refinancing loan, marking the significant milestone of Anglo Asian now being debt free," said chief executive officer Reza Vaziri.
"The facility was taken out to improve the company's financial performance and provide operational flexibility.
"Given that the net debt of the Company peaked at over $50 million in 2015, this milestone is a remarkable achievement."
Vaziri said that since 2015, as well as paying off its debt, the firm had continued to invest in its business, embarked on a three-year exploration programme at its contract areas, commenced the payment of regular dividends and built up a significant holding of cash.
2This amply demonstrates the robust cash generation of the company.
"The financial flexibility of being debt free allows Anglo Asian to focus on the growth of the business which I look forward to updating the market on as and when appropriate."
At 1521 GMT, shares in Anglo Asian Mining were up 2.06% at 143.9p.
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