Landore and Lamaune reach debt settlement agreement

Josh White Sharecast | 13 Sep, 2017 16:49 | | |

Finance, graph

Landore Resources Ltd.

2.37

17:16 22/09/17
-2.06%
-0.05
  • 16,700.89
  • 0.58%95.94
  • Max: 16,736.98
  • Min: 16,342.93
  • Volume: 0
  • MM 200 : n/a
17:30 22/09/17
  • 994.67
  • 0.30%2.94
  • Max: 995.03
  • Min: 989.98
  • Volume: 0
  • MM 200 : n/a
17:25 22/09/17

Landore announced on Wednesday that its wholly owned subsidiary, Landore Resources Canada, had entered into a debt settlement agreement with Lamaune Iron.

The AIM-traded firm said that, pursuant to the debt settlement agreement, Lamaune had agreed - conditional on its own shareholder approval - to issue to Landore Canada 576,192,087 common shares in the capital of Lamaune, in full satisfaction of the loan receivable from Lamaune.

Following the issue of the shares, Landore Canada will hold 90.2% of the issued shares of Lamaune.

“In June 2011, Landore demerged certain of its mining claims and assets relating to the Lamaune iron ore and gold deposits by means of a distribution in specie of the entire issued share capital of Lamaune to the then current shareholders of Landore and the transfer of the Lamaune Assets to Lamaune from Landore Canada,” the Landore board said in its statement.

“Prior to effecting the original transaction, Lamaune - which had been formed specifically for purposes of the original transaction - was a wholly-owned subsidiary of Landore.”

It said the purchase price for the transfer of the Lamaune Assets to Lamaune was CAD 6.2m, which was satisfied by the issuance of a promissory note by Lamaune and secured by a loan agreement and security agreement between Lamaune and Landore Canada.

In connection with the original transaction, Landore also agreed to make a loan facility available to Lamaune for working capital requirements.

“The debt settlement agreement is subject to the receipt of approval by shareholders of Lamaune at a special meeting of Lamaune to be held on 11 October, for which a circular is expected to be posted to Lamaune shareholders on 14 September,” the Landore board said in its statement.

“A further announcement will be made following this meeting.”

More news

22 Sep Europe close: Stocks finish higher on strong PMI readings

Stocks on the Continent finished mostly higher on the back of strong survey readings on the euro area's manufacturing and services sector and ahead of the German general elections at the weekend, although fresh barbs from Pyongyang were a drag on sentiment.

22 Sep Thousands of steel workers protest ThyssenKrupp merger in Germany

Thousands of steel workers gathered in Western Germany on Friday to protest the proposed merger of ThyssenKrupp and Tata Steel's European operations which was expected to result in approximately 4,000 job losses.

22 Sep London Close: FTSE firmer as pound losses ground after May speech

London stocks had reversed earlier losses to trade a little higher by Friday's close, helped along by a weaker pound as investors weighed up a key speech by Prime Minister Theresa May.

22 Sep JP Morgan Chase to establish global headquarters in Warsaw

Polish Deputy Prime Minister Mateusz Morawiecki announced on Friday that US bank JP Morgan Chase had picked Warsaw to play host to its new global operations centre, bringing thousands of jobs to the region from the beginning of 2018.

22 Sep FTSE 250 movers: Pets at Home dashes higher, oilers also lifted

The FTSE 250 index was on the front foot on Friday, led by retailer Pets at Home and a group of oil-related companies.

22 Sep Theresa May calls for post-Brexit transition period, new security treaty

In a speech in Florence on Friday, Prime Minister Theresa May confirmed that she wanted a two-year "implementation period" post-Brexit and a new treaty with the European Union on security and justice.

22 Sep FTSE 100 movers: Johnson Matthey rallies again but Smiths drops on results

London's FTSE 100 was up 0.6% to 7,305.66 in afternoon trade on Friday as investors mulled over PM Theresa May's Brexit speech in Florence.

22 Sep Results round-up

Saga, the specialist provider of products and services for those over 50, reported solid growth of 5.5% in underlying profits before tax for the first half as it ordered a second new cruise ship amid high demand.

22 Sep US economy shows resilience in face of hurricanes - Markit

Business activity in the US picked up in September despite hurricanes Harvey and Irma, as growth in the manufacturing sector helped to offset an easing in services, according to preliminary data released on Friday.

22 Sep Thalassa suspends share buyback as FairfieldNodal commences due diligence

Thalassa Holdings confirmed the suspension of its share buyback programme on Friday, as a suitor continued to circle the marine geoscience and subsea robotics company.