Asante Gold announces $525M financing package

Asante Gold (ASGOF) provided an update on a planned financing package of $525 million to fully fund its growth plans and recapitalize its short-term liabilities. The Financing Package is planned in two stages and is expected to include the previously announced $100 million equity private placement plus $425 million of additional financing transactions, including a comprehensive refinancing agreement with Kinross Gold (KGC) Corporation, issuance of senior debt, Ghanaian bond and gold stream agreements. HIGHLIGHTS: Financing Package of $525 million to fully fund growth plans and balance sheet needs, including: Bibiani: pit expansion, sulphide plant, community resettlement, underground mine development Chirano: mobile equipment, underground development and expansion, plant upgrades Kinross: refinancing to include equity conversion and deferral of amounts owed Settlement of other short-term liabilities Stage 1: $325 million in financing expected to be completed by the end of 2024, including: $100 million equity private placement, as previously announced $100 million Kinross Refinancing, including increased shareholding in Asante to 9.9% $75 million local currency, dollar-linked bond funded by strategic Ghanaian institutions $50 million syndicated gold stream facility Stage 2: $200 million in financing expected to be completed in early 2025, including: $150 million senior debt facility, to be arranged by FirstRand Bank Limited as Initial Mandated Lead Arranger and Bookrunner $50 million standby equity commitment from a strategic investor Endeavour Financial is acting as the Company’s financial advisor in connection with the Financing Package. Completion of the transactions disclosed in this news release remain subject to, among other things, the negotiation and execution of definitive agreements, the completion of satisfactory due diligence by certain counterparties, and receipt of requisite stock exchange approvals.