REG-Polymetal International plc Polymetal: Polymetal exchanges its Chaarat convertible notes into equity

Polymetal International PKAnnouncement

30/07/2019 07:00

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   Polymetal International plc (POLY)
   Polymetal: Polymetal exchanges its Chaarat convertible notes into equity

   30-Jul-2019 / 09:00 MSK
   Dissemination of a Regulatory Announcement, transmitted by EQS Group.
   The issuer is solely responsible for the content of this announcement.

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   Release time IMMEDIATE                         LSE, MOEX, AIX: POLY / ADR:
                AUCOY
   Date         30 July 2019

    

    

   Polymetal International plc

   Polymetal exchanges its Chaarat convertible notes into equity

   Polymetal announces that following the sale  of the Kapan mine in  January
   2019 to  Chaarat  Gold Holdings  Limited  (AIM: CGH)  (together  with  its
   subsidiaries - "Chaarat"), Polymetal has agreed to exchange the US$ 10m of
   Chaarat's Convertible Notes received as part of original consideration, as
   well as  factoring  in  working  capital settlement  under  the  SPA,  for
   14,638,020 newly issued ordinary shares of US$ 0.01 each ("New Shares") in
   Chaarat. This shall represent 3.5% of the enlarged issued share capital of
   Chaarat post allotment.

    

   "Exchange of convertibles into Chaarat stock, working capital  settlement,
   and release  of  warranties  and  indemnities  ensure  Polymetal's  direct
   exposure to  Chaarat's performance  while limiting  legacy  jurisdictional
   risks," said Vitaly Nesis, Group CEO of Polymetal.

   The New Shares  will be  subject to  a 12-months  lock-up arrangement  and
   Chaarat will have a  right of first  refusal in the event  of the sale  of
   those New Shares.

   As a part of this arrangement Chaarat Gold International Limited, a wholly
   owned  subsidiary  of  Chaarat,  has  agreed  to  release  Polymetal  from
   warranties and  indemnities  under  the sale  and  purchase  agreement  on
   acquisition of Kapan except for a limited number of reserved matters. This
   deal also settles the  post-completion working capital adjustment  between
   the parties.

   Chaarat has also agreed to waive its exclusivity right and right of  first
   refusal for Lichkvaz,  Polymetal's remaining asset  in Armenia. This  will
   pave the way for involving other interested parties into the ongoing  sale
   process for Lichkvaz.

   About Polymetal  

   Polymetal International plc (LSE, MOEX,  AIX: POLY, ADR: AUCOY)  (together
   with its subsidiaries - "Polymetal", the  "Company", or the "Group") is  a
   top-20 global gold producer and  top-5 global silver producer with  assets
   in Russia and Kazakhstan. The Company combines strong growth with a robust
   dividend yield.

   Enquiries

       Media                      Investor Relations
                              Polymetal
   FTI Consulting                             1 ir@polymetalinternational.com
                   +44 20     Eugenia
   Leonid Fink     3727 1000  Onuschenko     +44 20 7016 9505 (UK)

   Viktor Pomichal            Timofey        +7 812 334 3666 (Russia)
                              Kulakov
       Joint Corporate             
       Brokers
   Morgan Stanley  +44 20
                   7425 8000
   Andrew Foster              RBC Europe
                              Limited
   Richard Brown
                              Marcus Jackson +44 20 7653 4000
   Panmure Gordon
                              Jamil Miah
   Charles Lesser
                   +44 20
   James Stearns   7886 2500

    

   FORWARD-LOOKING STATEMENTS

   THIS RELEASE MAY  INCLUDE STATEMENTS  THAT ARE, OR  MAY BE  DEEMED TO  BE,
   "FORWARD-LOOKING STATEMENTS". THESE FORWARD-LOOKING STATEMENTS SPEAK  ONLY
   AS AT THE DATE  OF THIS RELEASE. THESE  FORWARD-LOOKING STATEMENTS CAN  BE
   IDENTIFIED BY THE USE OF FORWARD-LOOKING TERMINOLOGY, INCLUDING THE  WORDS
   "TARGETS",  "BELIEVES",  "EXPECTS",  "AIMS",  "INTENDS",  "WILL",   "MAY",
   "ANTICIPATES", "WOULD", "COULD" OR "SHOULD" OR SIMILAR EXPRESSIONS OR,  IN
   EACH  CASE  THEIR  NEGATIVE  OR  OTHER  VARIATIONS  OR  BY  DISCUSSION  OF
   STRATEGIES, PLANS, OBJECTIVES, GOALS,  FUTURE EVENTS OR INTENTIONS.  THESE
   FORWARD-LOOKING STATEMENTS  ALL INCLUDE  MATTERS THAT  ARE NOT  HISTORICAL
   FACTS. BY THEIR NATURE, SUCH FORWARD-LOOKING STATEMENTS INVOLVE KNOWN  AND
   UNKNOWN RISKS,  UNCERTAINTIES  AND  OTHER  IMPORTANT  FACTORS  BEYOND  THE
   COMPANY'S CONTROL  THAT COULD  CAUSE THE  ACTUAL RESULTS,  PERFORMANCE  OR
   ACHIEVEMENTS OF  THE  COMPANY  TO  BE  MATERIALLY  DIFFERENT  FROM  FUTURE
   RESULTS,  PERFORMANCE  OR  ACHIEVEMENTS  EXPRESSED  OR  IMPLIED  BY   SUCH
   FORWARD-LOOKING STATEMENTS. SUCH FORWARD-LOOKING  STATEMENTS ARE BASED  ON
   NUMEROUS ASSUMPTIONS REGARDING THE  COMPANY'S PRESENT AND FUTURE  BUSINESS
   STRATEGIES AND THE ENVIRONMENT  IN WHICH THE COMPANY  WILL OPERATE IN  THE
   FUTURE.  FORWARD-LOOKING   STATEMENTS  ARE   NOT  GUARANTEES   OF   FUTURE
   PERFORMANCE. THERE ARE MANY FACTORS THAT COULD CAUSE THE COMPANY'S  ACTUAL
   RESULTS, PERFORMANCE  OR  ACHIEVEMENTS  TO DIFFER  MATERIALLY  FROM  THOSE
   EXPRESSED  IN  SUCH  FORWARD-LOOKING  STATEMENTS.  THE  COMPANY  EXPRESSLY
   DISCLAIMS ANY  OBLIGATION OR  UNDERTAKING TO  DISSEMINATE ANY  UPDATES  OR
   REVISIONS TO  ANY FORWARD-LOOKING STATEMENTS CONTAINED HEREIN  TO  REFLECT
   ANY CHANGE IN THE COMPANY'S EXPECTATIONS WITH REGARD THERETO OR ANY CHANGE
   IN EVENTS, CONDITIONS OR  CIRCUMSTANCES ON WHICH  ANY SUCH STATEMENTS  ARE
   BASED

    

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   ISIN:          JE00B6T5S470
   Category Code: MSCL
   TIDM:          POLY
   Sequence No.:  14977
   EQS News ID:   848359


    
   End of Announcement EQS News Service

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References

   Visible links
   1. mailto:ir@polymetalinternational.com


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