The loan terms30 Jan 2025 18:38
This is the loan that is being routed.
● An arrangement fee of 10% of the loan commitment ("Fee") added to the loan balance.
● No interest charged until 1 November 2025 by when it is expected that the loan will have been repaid, if not thereafter at 0.5% per calendar day, on the outstanding balance.
● Immediate advance of £10,000 due by 31 January 2025 with nine additional monthly drawdowns of £10,000 from January 2025.
● Upon repayment of the Fee and loan commitment, 33,333,334 warrants over new ordinary shares exercisable at a price of 0.3 pence per share for a period of two years from the date of repayment, will be issued to the lenders. A further announcement will be made on issue of the warrants ("Warrants").
So a circa 13% interest rate, then 0.5% PER DAY.
Remind me again how they are going to pay this back? (Please don't say sales!). A reminder this is for "working capital", so presumably pays the wages for the year, leaving little for other rise (not that they have any products of course)