By Devika Patel
Knoxville, Tenn., Feb. 13 - Colombia Goldfields Ltd. said in an 8-K filing with the Securities and Exchange Commission Wednesday it arranged a $2.5 million loan with Global Resource Fund on Feb. 8.
The 12.5% promissory note will mature on July 31, 2008 and is secured by a guaranty by the company's subsidiaries. Interest is payable monthly beginning on Feb. 29.
The loan includes warrants for 350,000 shares, exercisable at C$1.10 for two years.
Colombia Goldfields paid Global Resource a 3% up-front fee.
Proceeds will be used to acquire all of the issued and outstanding shares of Mineros Nacionales SA as well as for general corporate purposes.
Based in Toronto, Colombia Goldfields is a gold exploration company.
| Issuer: | Colombia Goldfields Ltd.
|
| Issue: | Loan
|
| Amount: | $2.5 million
|
| Maturity: | July 31, 2008
|
| Coupon: | 12.5%
|
| Warrants: | For 350,000 shares
|
| Warrant expiration: | Two years
|
| Warrant strike price: | C$1.10
|
| Investor: | Global Resource Fund
|
| Fees: | 3%
|
| Settlement date: | Feb. 8
|
| Stock symbol: | OTCBB: CGDF
|
| Stock price: | $0.91 at close Feb. 8
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
