Shefa Gems Ltd Convertible Loan Agreement (9054A)
25 January 2020 - 1:52AM
UK Regulatory
TIDMSEFA
RNS Number : 9054A
Shefa Gems Ltd
24 January 2020
24 January 2020
Shefa Gems Ltd.
("Shefa Gems" or the "Company")
Convertible Loan Agreement
Shefa Gems (LSE: SEFA), a company focused on advanced
exploration and development of multi-gemstone projects in Northern
Israel, is pleased to announce that it has entered into a
convertible loan agreement for the provision of EUR200,000
(approximately GBP170,581) (the "Agreement") with an investor ("the
Lender") for working capital purposes and to fund the continued
development of its Kishon Mid-Reach Project.
Terms of the Loan
Pursuant to the Agreement, the Lender has agreed to provide a
convertible loan for EUR200,000 (approximately GBP170,581) (the
"Loan"). The Loan, together with rolled up interest at 5%, is
convertible into ordinary shares of the Company at a share price of
5 pence per share. The Loan will be available for the Company in
two tranches. The first tranche of EUR100,000 is due immediately
and the second tranche of EUR100,000 will be available upon receipt
by the Company of the Certificate of Discovery from the Inspector
of Mines. The Loan will be non-transferable. The Loan will be
repayable by 19 January 2022.
The loan is also guaranteed by a personal guarantee given by the
Company's CFO Mr. David Ben David.
As security for the Loan, following the second drawdown, the
Lender will be issued with 3,411,620 new ordinary shares in the
Company ("New Ordinary Shares"). These New Ordinary Shares will be
issued to the Lender [but held as security by the Company during
the Term of the Loan, ] with the intention that the Company will
buy back the shares within 24 months at 5 pence per share in full
repayment of the Loan.
In the event the Lender elects to keep the New Ordinary Shares,
the Company will grant the Lender one unlisted warrant for every
share received, exercisable for a period of 24 months from the date
of the election, at a price of 10 pence per warrant.
The Loan Agreement contains a provision that in the event that
the Lender sells any of the New Ordinary Shares issued to the
Lender, the Company's obligation to repurchase the shares from the
Lender will be canceled.
Michael Rosenberg, OBE, Chairman of Shefa Gems commented "I am
delighted to welcome this new investor in Shefa Gems who shares our
belief and enthusiasm in this unique precious gems mining
opportunity in the Kishon Mid Reach, Northern Israel".
- Ends -
Enquiries
Shefa Gems Ltd
Michael Rosenberg, OBE - Chairman
www.shefagems.com +44 20 7938 4026
-----------------------
VSA Capital Limited - Financial
Adviser
-----------------------
Andrew Raca +44 20 3005 5000
-----------------------
SI Capital Limited - Broker
-----------------------
+44 20 3871 4038 / +44
Nick Emerson and Jon Levinson 1483 413500
-----------------------
Notes to Editors
About Shefa Gems Ltd
Shefa Gems Ltd (LSE: SEFA) is a multi-commodity explorer of
precious stones operating in Northern Israel. Exploration activity
is managed by professionally skilled and technically competent
personnel and is accompanied by an international team of geological
experts with decades of proven experience in their fields.
All exploration activities are conducted under international
standards and the internationally recognised SAMREC 2016 Code.
Furthermore, its four (4) permits, granted to it by the Inspector
of Mines, Ministry of Energy, Natural Resources Administration,
Israel, extend over an area of approximately 600,000 Dunam (60,000
hectares) that includes the Kishon River, the volcanic bodies on
Mount Carmel, the Zevulun and Yizre'el valleys and their margins -
Menashe Hills, Tivon-Alonim Hills, and Nazareth range. The Company
upholds environmental values and protects the nature in the areas
where it operates, cooperating fully with all authorities.
Alongside its exploration activities, the Company is building on
the launch of the "Heaven on Earth" jewellery collection and
developing the Company's "Mine to Market" strategy to promote
unique jewellery collections utilising Shefa Gems' suite of
precious gemstones.
The exclusive "Heaven on Earth" collection is now available to
view online on the website of the designer Yossi Harari at:
https://www.yossiharari.com/collections/heaven-on-earth-1
For further information please visit the website at
www.shefagems.com
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 or visit www.rns.com.
END
AGRUSSSRRWUAUAR
(END) Dow Jones Newswires
January 24, 2020 09:52 ET (14:52 GMT)
Shefa Gems (LSE:SEFA)
Historical Stock Chart
From Apr 2024 to May 2024
Shefa Gems (LSE:SEFA)
Historical Stock Chart
From May 2023 to May 2024