LionGold to receive $3.5m loan from CEO, extends bond maturity date

SINGAPORE - Catalist-listed LionGold Corp has entered into a loan agreement with its chief executive officer and executive director Raymond Tan Soo Khoon for an unsecured, interest-free loan of up to $3.5 million, the company said in a Singapore Exchange announcement on Friday morning (July 13).

Mr Tan holds 1.8 million ordinary shares in LionGold, or approximately 0.02 per cent of the company's issued share capital. As the loan is interest-free, the value at risk is zero and LionGold is not required to seek shareholders' approval, it added.

In a separate announcement also made on Friday morning, LionGold said it has extended the maturity date of its convertible bonds issued in 2015 to Premier Equity Fund Sub Fund E, which is managed by Value Capital Asset Management.

LionGold said the 2.5 per cent redeemable convertible bonds, with an aggregate principal amount of up to $100 million, were previously due in 2018. The maturity date has been extended from three years to 4½ years from the closing date of the first sub-tranche of Tranche 1 Bonds, and will now be March 16, 2020.

LionGold shares closed trading at 0.1 cent on Thursday.