’s £3.5m Convertible Loans Notes Facility (CLN), released in March 2018, lapsed on December 31st 2018 without the company calling on providers of the facility to subscribe for any of the Convertible Loan Notes. Initially the CLN was intended to aid the company's participation in drilling of the Wick well in the UK.
A drawdown of the £3.5 CLN became unnecessary after UPL’s successful fundraising of £3m in June 2018 which, when added to the company’s existing cash resources, led UPL directors to consider it “unlikely to need to have this [CLN] available to it.”
The news not only reveals the company’s stable cash resources but is also a positive sign for existing UPL shareholders. By allowing the CLN to lapse, UPL have avoided diluting the value for their existing shareholders as they will not have to create new shares as a return for new investors.
The news of preserved share value and comfortable cash resources has been met with an 8% increase in share price.
For more news and updates on Upland Resources Limited:
The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.
On today's podcast: John Meyer, Mining analyst and partner at SP Angel talks about Trump buying Greenland, Gold, Copper and the following companies: Arc Minerals, Keras Resources & IronRidge Resources.
SP Angel research note on commodities and miners, featuring: Asiamet Resources (ARS LN) – MoU for EPCM services at BKM copper project Edenville Energy* (EDL LN) – Delivery of mining trucks MOD Resources (MOD LN) – Progress report on Sandfire’s proposed acquisition of MOD Resources Talga Resources* (TLG AU) – Maiden cobalt resource estimate at Kiskama
Boris Johnson is set to meet German Chancellor Angela Merkel in Berlin later, where he is expected to reiterate his call for the backstop plan to be scrapped. The PM has said it's "anti-democratic" and must be removed to secure a Brexit deal but the EU has rejected the possibility of any changes to the backstop.
On today's podcast: Non-Standard Finance talk through the highlights from their half year results. Highlands Natural Resources explain their decision to focus on to Zoetic, their CBD brand. Dev Clever Holdings discusses their recent fundraise and contract with Toshiba.
The deal would see Ganfeng Lithium acquire 29.99% of Bacanora for £14.4m, which the Londed-traded company plans to use as the cornerstone for its finance package for a large-scale lithium carbonate operations at the “high grade” Sonora Project in Mexico.