Vast Resources soared as much as 54% on Monday after the group announced the the successful repayment to Atlas Special Opportunities through asset backed debt facility from A&T Investments Sarl amounting to $4m.
Vast Resources shares have had a choppy time over the past two weeks as the London-based miner disclosed optimistic results, withdrew from the Ghahoo Diamond mine partnership and today, announcing a refinancing package.
On Friday, Vast Resources stated it had undertaken a debt reduction of $1m to Mercuria Energy Trading and mentioned it had outstanding bonds of $4.2m.
Vast secured an asset backed debt facility from A&T Investments Sarl which was arranged by Alpha Credit for $4m. In addition, the group raised £3.2m through placing 463.3m new ordinary shares at 0.7p.
Atlas’ conversion bond facility led Vast Resources to issue 153.3m new ordinary shares at 0.27p each on Friday as Atlas decided to convert bonds with a nominal value of $500,000, which represented 20% of the total shares issued. The move by Atlas was despite a ‘non legally binding verbal assurance’ Atlas would make no further conversions.
Vast Resources said, “In the light of the full repayment being made by the company to Atlas today as separately announced, the company is considering its position as to its response to this notice and is currently communicating with Atlas.”
🚨🚨 RNS Alert🚨🚨#VAST has successfully repaid in full the outstanding bonds owed to Atlas Special Opportunities LLC with the result that Atlas no longer has any conversion or any right to call for the issue of Vast ordinary shares – read more here: https://t.co/Ih8z8eBny9
— Vast Resources (@vast_resources) May 16, 2022
Once the group secured the asset backed debt facility, the group revealed that it repaid Atlas’ convertible bond which will prevent Atlas from additional conversions and share dilution.
Later on Friday, Vast announced the convertible bonds had been delisted from the International Stock Exchange.
