Heliostar Fully Repays Acquisition Loan Within 3 Months.
Heliostar Metals (HSTXF) has fully repaid its US$5 million acquisition loan from Deans Knight Capital Management , originally obtained on November 6th, 2024. The loan, which carried a 15% annual interest rate and was due to mature in November 2026, was used to acquire operating and development assets in Mexico from Florida Canyon Gold.
The company executed the repayment in two phases: US$2 million in December 2024 and the remaining US$3 million in February 2025, completing the repayment within approximately three months of the asset acquisition. The debt strategy allowed the company to complete the acquisition with less than one percent equity dilution.
CEO Charles Funk highlighted that the early repayment demonstrates the strong free cash flow generation from their operating mines and fiscal discipline. Being debt-free will enable the company to reinvest all operational profits directly into expanding production and growing resources across their portfolio throughout 2025.
Heliostar Metals (HSTXF) ha completamente rimborsato il suo prestito di acquisizione di 5 milioni di dollari statunitensi da Deans Knight Capital Management, originariamente ottenuto il 6 novembre 2024. Il prestito, che aveva un tasso di interesse annuale del 15% e doveva scadere a novembre 2026, è stato utilizzato per acquisire attivi operativi e di sviluppo in Messico da Florida Canyon Gold.
L'azienda ha eseguito il rimborso in due fasi: 2 milioni di dollari a dicembre 2024 e i restanti 3 milioni a febbraio 2025, completando il rimborso in circa tre mesi dall'acquisizione degli attivi. La strategia di indebitamento ha permesso all'azienda di completare l'acquisizione con meno dell'uno percento di diluizione del capitale.
Il CEO Charles Funk ha sottolineato che il rimborso anticipato dimostra la forte generazione di flusso di cassa libero dalle loro miniere operative e la disciplina fiscale. Essere privi di debiti consentirà all'azienda di reinvestire tutti i profitti operativi direttamente nell'espansione della produzione e nella crescita delle risorse nel loro portafoglio nel 2025.
Heliostar Metals (HSTXF) ha reembolsado por completo su préstamo de adquisición de 5 millones de dólares estadounidenses de Deans Knight Capital Management, obtenido originalmente el 6 de noviembre de 2024. El préstamo, que tenía una tasa de interés anual del 15% y debía vencer en noviembre de 2026, se utilizó para adquirir activos operativos y de desarrollo en México de Florida Canyon Gold.
La empresa ejecutó el reembolso en dos fases: 2 millones de dólares en diciembre de 2024 y los restantes 3 millones en febrero de 2025, completando el reembolso en aproximadamente tres meses desde la adquisición de los activos. La estrategia de deuda permitió a la empresa completar la adquisición con menos del uno por ciento de dilución de capital.
El CEO Charles Funk destacó que el reembolso anticipado demuestra la fuerte generación de flujo de caja libre de sus minas operativas y la disciplina fiscal. Estar libre de deudas permitirá a la empresa reinvertir todas las ganancias operativas directamente en la expansión de la producción y el crecimiento de los recursos en su cartera a lo largo de 2025.
Heliostar Metals (HSTXF)는 2024년 11월 6일에 처음으로 확보한 Deans Knight Capital Management로부터의 500만 달러 규모의 인수 대출을 전액 상환했습니다. 이 대출은 연 15%의 이자율을 가지고 있으며 2026년 11월에 만기가 예정되어 있었으며, Florida Canyon Gold로부터 멕시코의 운영 및 개발 자산을 인수하는 데 사용되었습니다.
회사는 상환을 두 단계로 실행했습니다: 2024년 12월에 200만 달러, 2025년 2월에 나머지 300만 달러를 상환하여 자산 인수 후 약 3개월 내에 상환을 완료했습니다. 이 부채 전략은 회사가 자본 희석을 1% 미만으로 유지하며 인수를 완료할 수 있게 했습니다.
CEO Charles Funk는 조기 상환이 운영 광산에서의 강력한 자유 현금 흐름 생성과 재정적 규율을 보여준다고 강조했습니다. 부채가 없는 상태에서 회사는 모든 운영 이익을 2025년 동안 생산 확대와 자원 성장에 직접 재투자할 수 있게 됩니다.
Heliostar Metals (HSTXF) a entièrement remboursé son prêt d'acquisition de 5 millions de dollars américains auprès de Deans Knight Capital Management, obtenu à l'origine le 6 novembre 2024. Ce prêt, qui avait un taux d'intérêt annuel de 15 % et devait arriver à échéance en novembre 2026, a été utilisé pour acquérir des actifs opérationnels et de développement au Mexique auprès de Florida Canyon Gold.
La société a effectué le remboursement en deux phases : 2 millions de dollars en décembre 2024 et les 3 millions restants en février 2025, complétant le remboursement environ trois mois après l'acquisition des actifs. La stratégie d'endettement a permis à l'entreprise de réaliser l'acquisition avec moins d'un pour cent de dilution du capital.
Le PDG Charles Funk a souligné que le remboursement anticipé démontre la forte génération de flux de trésorerie libre de leurs mines opérationnelles et la discipline financière. Être sans dette permettra à l'entreprise de réinvestir tous les bénéfices opérationnels directement dans l'expansion de la production et la croissance des ressources de son portefeuille tout au long de 2025.
Heliostar Metals (HSTXF) hat sein 5-Millionen-US-Dollar-Akquisitionsdarlehen von Deans Knight Capital Management vollständig zurückgezahlt, das ursprünglich am 6. November 2024 aufgenommen wurde. Das Darlehen, das einen jährlichen Zinssatz von 15% hatte und im November 2026 fällig war, wurde zur Akquisition von Betriebs- und Entwicklungsvermögen in Mexiko von Florida Canyon Gold verwendet.
Das Unternehmen führte die Rückzahlung in zwei Phasen durch: 2 Millionen US-Dollar im Dezember 2024 und die verbleibenden 3 Millionen US-Dollar im Februar 2025, wodurch die Rückzahlung etwa drei Monate nach der Vermögensakquisition abgeschlossen wurde. Die Schuldenstrategie ermöglichte es dem Unternehmen, die Akquisition mit einer Eigenkapitalverwässerung von weniger als einem Prozent abzuschließen.
CEO Charles Funk hob hervor, dass die vorzeitige Rückzahlung die starke Generierung von freiem Cashflow aus ihren Betriebsminen und die finanzielle Disziplin zeigt. Schuldenfrei zu sein, wird es dem Unternehmen ermöglichen, alle operativen Gewinne direkt in die Erweiterung der Produktion und das Wachstum der Ressourcen im gesamten Portfolio im Jahr 2025 zu reinvestieren.
- Early loan repayment completed within 3 months, well ahead of November 2026 maturity
- Acquisition completed with minimal equity dilution (<1%)
- Strong free cash flow generation from operating mines demonstrated by rapid debt repayment
- Company now debt-free, allowing direct reinvestment of profits into growth
- 15% per annum interest rate on the loan was relatively high
Vancouver, British Columbia--(Newsfile Corp. - February 13, 2025) - Heliostar Metals Ltd. (TSXV: HSTR) (OTCQX: HSTXF) (FSE: RGG1) ("Heliostar" or the "Company") is pleased to announce that it has repaid the US
Heliostar CEO Charles Funk commented, "Repayment of this loan is another significant milestone for Heliostar. In November 2024, the Company completed the acquisition of producing gold assets with a clear upside for less than one percent equity dilution by taking on debt. Using debt was assessed to be the best outcome for shareholders to minimize dilution. Making the repayment earlier than had been expected, within approximately three months of the asset acquisition, speaks to the free cash flow generation from our operating mines and the Company's fiscal discipline. Looking forward, being debt-free allows all profits generated from operations to be reinvested directly into our Company's growth. This reinvestment will focus on expanding production and growing resources across our portfolio throughout 2025."
Debt Facility Details
On November 6th, 2024, the Company entered into purchase agreements for up to US
Heliostar fully drew the notes on November 6th, 2024. The Company repaid US
About Heliostar Metals Ltd.
Heliostar aims to grow to become a mid-tier gold producer. The Company is focused on increasing production and developing new resources at the La Colorada and San Agustin mines in Mexico, and on developing the
FOR ADDITIONAL INFORMATION PLEASE CONTACT:
| Charles Funk President and Chief Executive Officer Heliostar Metals Limited Email: charles.funk@heliostarmetals.com Phone: +1 844-753-0045 | Rob Grey Investor Relations Manager Heliostar Metals Limited Email: rob.grey@heliostarmetals.com Phone: +1 844-753-0045 |
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statement Regarding Forward-Looking Information
This news release includes certain "Forward-Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" under applicable Canadian securities laws. When used in this news release, the words "anticipate", "believe", "estimate", "expect", "target", "plan", "forecast", "may", "would", "could", "schedule" and similar words or expressions, identify forward-looking statements or information. These forward-looking statements or information relate to, among other things: the Company's goal of becoming a mid-tier producer, the Company's discipline and the free cashflow generation from our operating mines, all profits generated from operations to be reinvested directly into our Companies growth and this reinvestment will focus on expanding production and growing resources across our portfolio.
Forward-looking statements and forward-looking information relating to the terms and completion of the Facility, any future mineral production, liquidity, and future exploration plans are based on management's reasonable assumptions, estimates, expectations, analyses and opinions, which are based on management's experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances, but which may prove to be incorrect. Assumptions have been made regarding, among other things, the receipt of necessary approvals, price of metals; no escalation in the severity of public health crises or ongoing military conflicts; costs of exploration and development; the estimated costs of development of exploration projects; and the Company's ability to operate in a safe and effective manner and its ability to obtain financing on reasonable terms.
These statements reflect the Company's respective current views with respect to future events and are necessarily based upon a number of other assumptions and estimates that, while considered reasonable by management, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies. Many factors, both known and unknown, could cause actual results, performance, or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements or forward-looking information and the Company has made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation: precious metals price volatility; risks associated with the conduct of the Company's mining activities in foreign jurisdictions; regulatory, consent or permitting delays; risks relating to reliance on the Company's management team and outside contractors; risks regarding exploration and mining activities; the Company's inability to obtain insurance to cover all risks, on a commercially reasonable basis or at all; currency fluctuations; risks regarding the failure to generate sufficient cash flow from operations; risks relating to project financing and equity issuances; risks and unknowns inherent in all mining projects, including the inaccuracy of reserves and resources, metallurgical recoveries and capital and operating costs of such projects; contests over title to properties, particularly title to undeveloped properties; laws and regulations governing the environment, health and safety; the ability of the communities in which the Company operates to manage and cope with the implications of public health crises; the economic and financial implications of public health crises, ongoing military conflicts and general economic factors to the Company; operating or technical difficulties in connection with mining or development activities; employee relations, labour unrest or unavailability; the Company's interactions with surrounding communities; the Company's ability to successfully integrate acquired assets; the speculative nature of exploration and development, including the risks of diminishing quantities or grades of reserves; stock market volatility; conflicts of interest among certain directors and officers; lack of liquidity for shareholders of the Company; litigation risk; and the factors identified under the caption "Risk Factors" in the Company's public disclosure documents. Readers are cautioned against attributing undue certainty to forward-looking statements or forward-looking information. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or forward-looking information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements or information, other than as required by applicable law.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/240735
FAQ
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