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Avnet Inc V.AVT


Primary Symbol: AVT

Avnet, Inc. is a global electronic component technology distributor and solutions provider. It markets, sells, and distributes electronic components from electronic component manufacturers, including semiconductors, interconnect, passive and electromechanical components, and other integrated and embedded components. Its primary operating groups include Electronic Components (EC) and Farnell. EC serves a variety of markets ranging from industrial to automotive to defense and aerospace. EC offers an array of customer support options throughout the entire product lifecycle, including turnkey and customized design, supply chain, programming, logistics and post-sales services. The Farnell operating group primarily supports lower-volume customers and distributes a portfolio of kits, tools, electronic components, industrial automation components, and test and measurement products to both engineers and entrepreneurs, through an e-commerce channel. It also distributes new product introductions.


NDAQ:AVT - Post by User

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Post by cisco-kidon Nov 03, 2014 12:22pm
268 Views
Post# 23088615

Avanti Mining US$50 Million Bridge Financing & New Webpage

Avanti Mining US$50 Million Bridge Financing & New Webpage

Avanti Mining Announces US$50 Million Bridge Financing

TORONTO, ON--(Marketwired - November 03, 2014) - Avanti Mining Inc. (: AVT) ("Avanti" or the "Company") and its wholly owned subsidiary Avanti Kitsault Mine Ltd. ("Avanti Kitsault") announce that they have entered into a binding and committed term sheet with Resource Capital Fund VI L.P. ("RCF") for a US$50 million bridge loan facility (the "Bridge Loan") with proceeds to be used to continue advancing detailed engineering and to support the purchase of long-lead time equipment at the Kitsault Molybdenum Project ("Kitsault" or the "Project").

Major terms of the Bridge Loan include:

  • The Bridge Loan will accrue interest at 12.5% per annum payable on January 31, 2015 in cash;
  • Funds will be available for drawdown in five tranches, whereby up to US$35 million will be available through four separate drawdowns ranging from the date of closing to January 15, 2015, and US$15 million will be available as a single drawdown (subject to the satisfaction of additional conditions precedent) between November 1, 2014 and January 15, 2015;
  • Drawdowns of the Bridge Loan are subject to certain conditions, including completion of satisfactory due diligence, receipt of any required regulatory approvals, and approval by the Company's Board of Directors and RCF of a four month budget pursuant to which the funds will be used;
  • RCF will be provided the option, exercisable during the 18 month period following closing, to purchase up to 10% of the molybdenum product or molybdenum concentrate from Kitsault, for a term of 13 years. Should RCF elect not to execute a formal off-take agreement with Avanti, RCF will receive a sliding scale net smelter return royalty for up to 0.20%, based on the prevailing molybdenum price at that time;
  • The Bridge Loan will be secured by a first charge on all assets of the Company and certain of its subsidiaries, on a pari passu basis with other existing credit facilities;
  • The Bridge Loan will be repayable on the earlier of (i) January 31, 2015 (subject to acceleration upon an event of default), (ii) a direct or indirect sale or joint venture of a material interest, offtake, metal stream or royalty in the Project, or (iii) completion of an equity or other type of financing; and
  • RCF will subordinate its security in the Project to any bona fide project financing facility for the Project that is satisfactory to RCF.

In the event that the Company terminates the proposed Bridge Loan, including in the event that it does not obtain any required approvals, the Company has agreed to pay RCF a Termination Fee equal to 1% of the facility amount, or US$500,000.

Closing of the Bridge Loan is subject to customary conditions precedent, including but not limited to completion of due diligence satisfactory to RCF.

The Bridge Loan was negotiated on an arms' length basis with RCF. The Bridge Loan was considered and approved by the board of directors of the Company, other than the directors of the Company who are also affiliated with RCF, who did not participate in the deliberations and abstained from such approval. There was no materially contrary view or abstention by any director approving the Bridge Loan. It is expected that the closing of the Bridge Loan will occur less than 21 days after the date of this press release, which is reasonable in the circumstances in order to provide the Company with access to the funds on an expedited basis.

RCF is an "insider" (as defined in applicable securities laws) of the Company. Pursuant to Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"), the Bridge Loan is considered a "related party transaction," The Bridge Loan is exempt from the requirements to obtain a formal valuation pursuant to the exemption in section 5.5(b) of MI 61-101, as the Company is not listed on a specified market, and is exempt from minority shareholder approval pursuant to section 5.7(f) of MI 61-101, as the Bridge Loan does not have an equity or voting component and is on reasonable commercial terms that are not less advantageous to the Company than if the Bridge Loan were obtained from an arm's length party.

About Kitsault

Kitsault is located in the Nass Valley area, approximately 140 km north of Prince Rupert, in British Columbia, Canada. Avanti holds a 100% interest in the Project through its wholly owned subsidiary, Avanti Kitsault. Total investment into the Project will be approximately $1 billion.

Once developed, Kitsault is expected to become one of the largest primary molybdenum producers globally, producing in excess of 11,000 tonnes of molybdenum and 1 million ounces of silver annually, over a 15-year mine life.


https://www.avantimining.com/s/Home.asp


https://www.marketwired.com/press-release/avanti-mining-announces-us50-million-bridge-financing-tsx-venture-avt-1963574.htm

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