WKT 0.00% 9.5¢ walkabout resources ltd

Ann: Walkabout shareholders provide $5m loan to bridge funding, page-26

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  1. 434 Posts.
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    Unless I'm missing something, this is an exceptional financing package because the additional equity through the put and call options should make the remaining debt component fairly straightforward and cheaper than it would otherwise be. The initial loan essentially accelerates the receipt of funds from the exercise of the outstanding options at a reasonable cost, with any balance subscribed for new shares at a reasonable discount, so I'm also happy with that. I had resigned myself to putting up with one last dilutionary equity raising as part of the final funding package and this hopefully obviates the need for that or will at least reduce it dramatically. As the market reaction was so muted (go figure) I couldn't resist picking up a few extra shares.
 
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