Stornoway announces bridge financing
11 June 2019
Stornoway Diamond Corporation announced today that: Stornoway along with its material subsidiaries, entered into a binding bridge financing agreement with certain secured lenders and key stakeholders providing for a senior secured bridge credit facility (the “Bridge Facility”) to ensure the Corporation continues to operate uninterrupted in accordance with its plan during the strategic review process with a view to seek out proposals for, and pursue, a restructuring transaction; and
The strategic review process the Corporation initiated earlier this year, aimed at ensuring the long-term viability of the Renard Diamond Mine, continues and a formal sale and investment solicitation process (the “SISP Process”) was launched to seek out proposals for a restructuring transaction;
This development is a strong indication of the support of Stornoway’s financial partners to the project and their commitment to ensuring that the Renard Diamond Mine operations continue uninterrupted, in accordance with Stornoway’s plan during the SISP Process.