ZincOx acquires Korea Zinc for $7.95m

(ShareCast News) - ZincOx Resources, an AIM listed company that recycles hazardous waste generated from recycling steel scrap, has announced that it has entered into a sale and purchase agreement with Korea Zinc company (KZC) with regard to the company's remaining interest in Zinc Oxide corporation, owner of the Korean Recycling Plant (KRP).KZC has agreed to pay a total of $7.95m in two tranches for the remaining interest in ZOC, of which $7m is to be paid within three weeks and the balance once KZC has completed various procedural requirements in Korea.The proceeds from the sale will be used to repay the company's corporate loan notes which together with accrued interest amounts to around $5m and the balance will be used to progres other projects.Chief executive Andrew Woollett said: "The sale will enable the Company to pay off all its debt and provide sufficient funds for us to work on new and exciting major projects around which the Company can be rebuilt."The share price rose 5.56% to 0.425p at 1252 GMT on Thursday.