JOHANNESBURG (miningweekly.com) – Australia-based gold miner St Barbara has repurchased an additional $40-million in senior secured notes, reducing its interest expenses by about A$4.7-million a year.
Settlement of the repurchased notes, at a 3.3% premium to par value, was expected to occur by July 20, the company reported on Monday.
Net payments were expected to amount to A$56-million, consisting of principal repayment and accrued interest.
St Barbara would fund the note repurchase from US dollar cash reserves generated from US dollar gold sales, bringing the company’s aggregate cash balance to about A$90-million.
St Barbara has now repurchased a cumulative $122-million in aggregate principal of the original $250-million of notes issued in March 2013.
The company repaid its $75-million Red Kite debt facility during in full during the past financial year, bringing its total repaid debt to $197-million since June, 2015.
St Barbara reported that $128-million of notes remained on issue.
Edited by: Mariaan Webb
Creamer Media Senior Deputy Editor Online
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