Lydian International’s CCAA protection extended; DIP financing OK’d

By Wendy Van Sickle

Columbus, Ohio, March 11 – Lydian International Ltd. and its direct and indirect wholly owned subsidiaries Lydian Canada Ventures Corp. and Lydian U.K. Corp. Ltd.’s previously announced protection under the Companies’ Creditors Arrangement Act has been extended until April 30, according to a press release.

The protection had previously been extended until March 11.

While under CCAA protection, creditors and others are stayed from enforcing any rights against the companies and a number of their direct subsidiaries, including Lydian Armenia.

The court also authorized the company and its subsidiaries to obtain debtor-in-possession financing from its existing senior secured lenders, Orion Co. IV (ED) Ltd., Resource Capital Fund VI LP and Osisko Bermuda Ltd.

These DIP lenders have agreed to provide Lydian with a financing facility under its existing term B facility in order to continue operations through April 30.

Advances under the DIP facility are subject to some conditions, and the facility is secured by a super-priority charge in favor of its lenders,

Lydian is a Toronto-based gold developer focusing on construction at its 100%-owned Amulsar gold project located in south-central Armenia.

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