Rare Earth Minerals plc (LON:REM) has lifted its stake in European Metals Holdings Ltd (ASX:EMH) to 17.64%, after exercising options over 2mln shares.
As presaged in its announcement of 30 September, Rare Earth (REM) has been issued Chess Depositary Interests, or CDIs, in respect of the newly issued shares, after the options were exercised at A$0.20 per CDI.
REM’s stake in European Metals Holdings (EMH) is set to rise to 20.84% as a result of the company’s agreement earlier this month to pump A$2.6mln into the Czech Republic-focused base metals explorer in return for 5mln shares issued at A$0.52 per CDI.
Shares in EMH closed at A$0.495 this morning.
Meanwhile, REM has received notification of the conversion of US$500,000 of its convertible loan stock into 63.14mln new ordinary shares in the company at a price of 0.65 pence per share.
After this exercise, the outstanding balance of the convertible loan is US$13.65 million. The convertible loan has an interest rate of 5%, and the principal is convertible at 0.65 pence, which represents a premium of 5 % over the closing price on 8 August 2016, the day before the loan note was announced.
Original Article: http://www.proactiveinvestors.co.uk/companies/news/167560/rare-earth-receives-500000-from-loan-stock-conversion-167560.html
