REG - Kropz PLC - Draw down on new convertible equity facility

KropzAnnouncement

01/12/2022 10:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20221201:nRSA2621Ia&default-theme=true

RNS Number : 2621I  Kropz PLC  01 December 2022

1 December 2022

Kropz Plc

("Kropz" or the "Company")

Draw down on new convertible equity facility

 

Kropz plc (AIM: KRPZ) is pleased to confirm that today it has made its first
draw down request under the new ZAR 550 million convertible equity facility
from the Company's largest shareholder, ARC Fund ("ZAR 550 Million Equity
Facility"), as announced on 14 November 2022.

 

As announced on 9 August 2022, Kropz, Kropz Elandsfontein (Pty) Ltd
("Elandsfontein") and ARC Fund agreed to a ZAR 121.5
million (approximately US$ 7.1 million) bridge loan facility ("Loan 1") to
meet immediate cash requirements at Elandsfontein. Loan 1 is fully drawn at
the date of this announcement.

 

As further announced on 30 September 2022, Kropz, Kropz Elandsfontein and ARC
Fund agreed to a further ZAR 126 million (approximately US$ 7.4 million)
bridge loan facility ("Loan 2") to meet further funding requirements at
Elandsfontein due to further delays in the ramp-up of operations at
Elandsfontein. Loan 2 is fully drawn at the date of this announcement.

 

Loan 1 and Loan 2 will be set off against the first draw down amount under
the ZAR 550 Million Equity Facility.

 

The first draw down is for ZAR 307.5 million (approximately US$ 18.1
million), which comprises:

·    Set-off of Loan 1 and Loan 2 of ZAR 247.5 million;

·    ZAR 10 million for Kropz Plc's general corporate purposes and
funding for the ongoing running costs of the Hinda project; and

·    ZAR 50 million in respect of working capital for Elandsfontein.

 

ZAR 242.5 million remains available for drawdown over the term of the ZAR 550
Million Equity Facility.

 

The next draw down of the ZAR 550 Million Equity Facility is expected to be
made on or about 23 December 2022 and monthly thereafter, if required, in
line with the terms of the ZAR 550 Million Equity Facility.

ARC Fund has the right, at any time, to convert any outstanding amount under
the ZAR 550 Million Equity Facility into new ordinary shares in Kropz Plc.

 

 

For further information visit www.kropz.com (http://www.kropz.com/)  or
contact:

 

 Kropz Plc
 Mark Summers (CEO)                +27 (0) 79 744 8708

 Grant Thornton UK LLP             Nominated Adviser
 Samantha Harrison                 +44 (0) 20 7383 5100

 Harrison Clarke

 George Grainger

 Ciara Donnelly

 Hannam & Partners                 Broker
 Andrew Chubb                      +44 (0) 20 7907 8500

 Ernest Bell

 Tavistock                         Financial PR & IR (UK)
 Nick Elwes                        +44 (0) 207 920 3150

 Jos Simson                        kropz@tavistock.co.uk

 Emily Moss

 R&A Strategic Communications      PR (South Africa)
 Charmane Russell                  +27 (0) 11 880 3924

                                   charmane@rasc.co.za

About Kropz Plc

Kropz is an emerging African producer and developer of plant nutrient feed
minerals with phosphate projects in South Africa and in the Republic of Congo.
The vision of the Group is to become a leading independent phosphate rock
producer and to develop into an integrated, mine-to-market plant nutrient
company focusing on sub-Saharan Africa.

-ENDS-

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCFSFFSFEESELE