Frontera Resources agrees payment plan with Yorkville Advisors

(Sharecast News) - Frontera Resources and investment company Yorkville Advisors agreed to resolve their differences as the pair retracted and released each other from their mutual claims.The AIM-listed outfit, which raised "serious concerns" over the Cayman Islands-based fund's calculations, on Friday announced a restructuring of its outstanding Series A shares redemption schedule that will see all 2,650 remaining shares redeemed on a monthly basis commencing 1 November.Yorkville's YA II PN fund had raised objections after Frontera moved to making monthly cash redemption payments to redeem YA's $2.89m of convertible shares held as part of a previous loan provided to oil explorer.Frontera has now agreed to make cash redemption payments to YA of $64,900 a month until 1 April 2019 before upping the payments to $149,600 per month until 1 July 2019. Frontera will then make a lump sum redemption payment of $2.14m on 1 July 2019 in order to redeem all the outstanding shares.Chief executive Zaza Mamulaishvili, said: "As a result of this settlement, the inconvenient overhang of monthly conversion has been removed, which should positively reflect on the company's share price and market position going forward.""The company is moving on with paying down the remaining balance to YA by way of cash redemption and without recourse to the conversions, as was the case in the past."As of 1045 BST, Frontera shares had shot up 10.33% to 0.42p.