NextSource Materials Announces US$20M Credit Facility with Vision Blue Resources
NextSource Materials (NSRCF) has secured a US$20 million drawdown credit facility from Vision Blue Resources The non-dilutive facility will support the Company's Battery Anode Facility strategy, Molo mine ramp-up, and working capital needs.
The facility is structured in four equal tranches of US$5 million, with the initial tranche expected by January 2025 end. The loan carries a 15% annual interest rate, is repayable on demand after June 30, 2025, and is secured by company assets. NextSource can repay the facility without penalties.
Vision Blue, holding 47.7% of NextSource's shares, makes this a related party transaction. The company is exempt from minority shareholder approval as the facility terms are commercially reasonable and non-convertible to equity.
NextSource Materials (NSRCF) ha ottenuto una linea di credito di 20 milioni di dollari USA da Vision Blue Resources. Questa linea di credito non diluitiva supporterà la strategia dell'azienda riguardo l'impianto per anodi di batterie, l'aumento della produzione della miniera di Molo e le necessità di capitale circolante.
La linea di credito è strutturata in quattro tranches uguali da 5 milioni di dollari USA, con la prima tranche prevista entro la fine di gennaio 2025. Il prestito ha un tasso d'interesse annuale del 15%, è rimborsabile su richiesta dopo il 30 giugno 2025 ed è garantito da attivi aziendali. NextSource può rimborsare la linea di credito senza penalità.
Vision Blue, detentore del 47,7% delle azioni di NextSource, rende questa operazione una transazione con parti correlate. L'azienda è esente dall'approvazione degli azionisti di minoranza poiché i termini della linea di credito sono commercialmente ragionevoli e non convertibili in azioni.
NextSource Materials (NSRCF) ha conseguido una facilidad de crédito por 20 millones de dólares estadounidenses de Vision Blue Resources. Esta facilidad no dilutiva apoyará la estrategia de la compañía para la instalación de ánodos de batería, la expansión de la mina Molo y las necesidades de capital de trabajo.
La facilidad está estructurada en cuatro tramos iguales de 5 millones de dólares estadounidenses, con el tramo inicial esperado para finales de enero de 2025. El préstamo tiene una tasa de interés anual del 15%, es reembolsable a demanda después del 30 de junio de 2025 y está garantizado por los activos de la empresa. NextSource puede reembolsar la facilidad sin penalizaciones.
Vision Blue, que posee el 47.7% de las acciones de NextSource, convierte esta operación en una transacción con partes relacionadas. La empresa está exenta de la aprobación de los accionistas minoritarios, dado que los términos de la facilidad son comercialmente razonables y no convertibles en acciones.
넥스트소스 소재 (NSRCF)는 비전 블루 리소스(Vision Blue Resources)로부터 2000만 달러의 신용 대출 시설을 확보하였습니다. 이 비희석 대출 시설은 회사의 배터리 음극 시설 전략, 몰로 광산의 생산 증대 및 운영 자본 필요를 지원할 것입니다.
이 시설은 500만 달러씩 4개의 동등한 트랜치로 구성되어 있으며, 첫 번째 트랜치는 2025년 1월 말까지 예상됩니다. 대출은 연 15%의 금리를 가지고 있으며, 2025년 6월 30일 이후에 요청 시 상환할 수 있으며, 회사 자산으로 담보됩니다. 넥스트소스는 페널티 없이 시설을 상환할 수 있습니다.
비전 블루는 넥스트소스의 주식 47.7%를 보유하고 있으므로 이는 관련 당사자 거래가 됩니다. 회사는 대출 조건이 상업적으로 합리적이고 주식으로 전환할 수 없기 때문에 소수 주주 승인에서 면제됩니다.
NextSource Materials (NSRCF) a obtenu une facilité de crédit de 20 millions de dollars US de Vision Blue Resources. Cette facilité non dilutive soutiendra la stratégie de la société concernant l'installation d'anodes de batterie, l'accroissement de la production de la mine de Molo et les besoins en fonds de roulement.
La facilité est structurée en quatre tranches égales de 5 millions de dollars US, la première tranche étant attendue d'ici fin janvier 2025. Le prêt a un taux d'intérêt annuel de 15%, est remboursable à la demande après le 30 juin 2025, et est garanti par les actifs de l'entreprise. NextSource peut rembourser la facilité sans pénalité.
Vision Blue, détenant 47,7 % des actions de NextSource, rend cette opération une transaction entre parties liées. La société est exemptée de l'approbation des actionnaires minoritaires car les termes de la facilité sont commercialement raisonnables et non convertibles en actions.
NextSource Materials (NSRCF) hat eine Kreditfazilität in Höhe von 20 Millionen US-Dollar von Vision Blue Resources gesichert. Diese nicht verdünnende Fazilität wird die Strategie des Unternehmens für die Batterieanodenanlage, den Ausbau der Molo-Mine und den Kapitalbedarf unterstützen.
Die Fazilität ist in vier gleiche Tranchen von je 5 Millionen US-Dollar strukturiert, wobei die erste Tranche bis Ende Januar 2025 erwartet wird. Das Darlehen hat einen jährlichen Zinssatz von 15%, ist auf Abruf nach dem 30. Juni 2025 rückzahlbar und ist durch Unternehmensvermögen gesichert. NextSource kann die Fazilität ohne Strafgebühren zurückzahlen.
Vision Blue, das 47,7 % der Anteile von NextSource hält, macht dies zu einer Transaktion mit verbundenen Parteien. Das Unternehmen ist von der Genehmigung der Minderheitsaktionäre befreit, da die Bedingungen der Fazilität kommerziell angemessen und nicht in Eigenkapital umwandelbar sind.
- Secured US$20M non-dilutive credit facility
- Flexible drawdown structure in four US$5M tranches
- Option for early repayment without penalties
- Strengthens working capital position for operations and growth
- High interest rate at 15% per annum
- Short-term nature with repayment possible after June 30, 2025
- Requires company assets as collateral
TORONTO, ON / ACCESS Newswire / January 30, 2025 / NextSource Materials Inc. (TSX:NEXT)(OTCQB:NSRCF) ("NextSource" or the "Company") announces that it has secured a drawdown credit facility (the "Facility") of up to US
Hanré Rossouw, President and CEO commented,
"The funding from Vison Blue enables us to complete the ramp-up and growth of the Molo Graphite Mine while also continuing to advance our plans to develop Battery Anode Facilities. The recent commencement of commercial sales of graphite concentrate and the strengthening of our management team demonstrate the progress we have already made. With the continued support from Vision Blue, we are making meaningful progress towards our vision of becoming a leader in sustainably produced battery materials."
The Company may draw down on the Facility in four equal tranches and anticipates that it will draw down the initial US
Related Party Transaction
Vision Blue holds
The Company is not required to obtain a formal valuation in respect of the Facility. The Company is exempt from the need to obtain minority shareholder approval per subsection 5.7(1)(f) of MI 61-101, as the Facility is on reasonable commercial terms that are not less advantageous to the Company than if the Facility were obtained from a person dealing at arm's length with the Company and the Facility is not convertible, directly or indirectly into equity of the Company or a subsidiary of the Company. The Board of Directors of NextSource, with the exception of Sir Mick Davis (being a Director of Vision Blue) who declared his interest and recused himself, unanimously approved the Facility.
About NextSource Materials Inc.
NextSource Materials Inc. is a battery materials development company based in Toronto, Canada that is intent on becoming a vertically integrated global supplier of battery materials through the mining and value-added processing of graphite and other minerals.
The Company's Molo graphite project in Madagascar is one of the largest known and highest-quality graphite resources globally, and the only one with SuperFlake® graphite. The Molo mine has begun production, with Phase 1 mine operations currently being optimized to reach its nameplate production capacity.
The Company is also developing a significant downstream graphite value-add business through the staged rollout of Battery Anode Facilities capable of large-scale production of coated, spheronized and purified graphite for direct delivery to battery and automotive customers, outside of existing Asian supply chains, in a fully transparent and traceable manner.
NextSource Materials is listed on the Toronto Stock Exchange (TSX) under the symbol "NEXT" and on the OTCQB under the symbol "NSRCF".
For further information about NextSource please visit our website at www.nextsourcematerials.com or contact us:
Investors:
Brent Nykoliation, Executive Vice President +1 416 364 4911 brent@nextsourcematerials.com or Hanré Rossouw, President & CEO hanre@nextsourcematerials.com
Media:
Michael Oke/Andy Mills +44 207 321 0000 nextsource@aura-financial.com
Cautionary Note
This press release contains statements that may constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable Canadian and United States securities legislation. Readers are cautioned not to place undue reliance on forward-looking information or statements. Forward looking statements and information are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "potential", "possible" and other similar words, or statements that certain events or conditions "may", "will", "could", or "should" occur. Forward-looking statements include any statements regarding, among others, the use of proceeds for the Facility, the timing of the draw down, the continued availability of the Facility, progress in respect of the Company's Battery Anode Facility strategy and the Molo project, and timing of commercial sales, commissioning and achievement of nameplate capacity the rollout of Battery Anode Facilities including the capabilities and the timing thereof. These statements are based on current expectations, estimates and assumptions that involve a number of risks, including risks related to operations and ramp up issues at the Molo project, risks related to the Company's Battery Anode Facility strategy, as well as those risks identified in the Company's Annual Information Form and MD&A which could cause actual results to vary and, in some instances, to differ materially from those anticipated by the Company and described in the forward-looking statements contained in this press release.
No assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur or, if any of them do so, what benefits the Company will derive there from. The forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether because of new information, future events or otherwise, except as may be required by applicable securities laws. Although the forward-looking statements contained in this news release are based on what management believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with them. These forward-looking statements are made as of the date of this news release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company does not assume any obligation to update or revise the forward-looking statements contained herein to reflect events or circumstances occurring after the date of this news release.
SOURCE: NextSource Materials Inc.
View the original press release on ACCESS Newswire
FAQ
What are the terms of NSRCF's US$20M credit facility with Vision Blue?
How will NSRCF use the US$20M credit facility funds?
When will NSRCF draw down the first tranche of the credit facility?
Why doesn't NSRCF need minority shareholder approval for the Vision Blue facility?
What percentage of NSRCF does Vision Blue own?
