Coronado Global Resources Inc (ASX:CRN) has announced a fully underwritten A$250 million equity raising for providing additional financial flexibility in response to current market due to global COVID-19 pandemic.
The company highlighted that proceeds of the Offer shall be used to repay drawn balances from the Syndicated Facilities Agreement.
The Offer shall comprise-
- a fully underwritten placement to institutional investors (including institutional securityholders) to increase A$145 million; and
- a fully underwritten 2 for 11 Entitlement Offer to raise A$105 million (Entitlement Offer).
The Offer, in conjunction with the Syndicated Facilities Agreement (SFA) waiver extension, is anticipated to well-place CRN for any future recovery in metallurgical coal prices.