You can not ignore the fact that up to date 29 Dec 2018, no extension of the acquisition deal has been granted by Noteholders to ANS/WAPRC. If the deal is cancelled, noteholders will become the controlling shareholders of SDL and then SDL will become a DEBT FREE COMPANY. ANS/WAPRC has invested $1 million in SDL and can buy more shares on market at premium. Good luck to you. Happy New year 2019.
Monday, 31 Dec 2018 will be the last trading and deadline for the deal. If ANS/WAPRC could not satisfy the conditions set in the agreement, the deal will be automatically cancelled on 1 January 2019 unless the extension is granted. Good luck and happy new year 2019.
If the deal between ANS/WAPRC and SDL is cancelled, SDL will go back to original deal with noteholders signed on 30 July 2018.
Extract from
ASX Announcement | Media Release 30 July 2018
AGREEMENT FOR SUNDANCE TO BE DEBT FREE FOLLOWING CANCELLATION OF CONVERTIBLE NOTES
• Binding term sheet (subject to conditions) for transformational transaction that will leave Sundance debt free.
• Involves converting $133M of notes into $58.19M of shares and a capped production royalty.
• Turns an Enterprise Value comprising $133m of convertible note debt 1 plus a $33m market capitalisation at 0.4 cents per share (i.e. $166m Enterprise Value) 2 , into an Enterprise Value comprising a $90.7m market capitalisation at 0.4 cents per share with no debt.
• Introduces 5 institutional shareholders to the Company’s Top 20 shareholders. Any noteholder holding 10% or more of the voting power in the Company (post restructure) may appoint a Board member. These shareholders will have escrow provisions around their shares.
• The elimination of debt and the introduction of new Executive skill sets will enable Sundance to focus on the development of the Mbalam-Nabeba Iron Ore Project which consists of 517mt grading 62.2% Fe3 in Stage 1.
• This transformational transaction is a significant step forward for shareholders towards the commercialisation of the Project.
The Board of Sundance Resources Limited (ASX: SDL) (“Sundance” or “Company”
is pleased to announce that the Company has reached agreement to restructure its balance sheet and eliminate the Convertible Notes (“Notes”
that were due to mature in September 2019. Completion of this agreement will ensure the Company is free of $133m of debt and is in a position where it can progress the process of securing partners to join Sundance to advance the Mbalam-Nabeba Iron Ore Project (“Project”
.
Share
WARNING:
GAin or
lOss is in your
Own hands. Good luck. This is not investment
