What Junk Bond debt are you talking about please Tomboy? I did...

What Junk Bond debt are you talking about please Tomboy?
I did not think the banks involved issued ‘junk’ loans
cheers

Acquisition Presentation says :

IGO intends to fund the Transaction through a combination of:
— Restructuring IGO’s existing A$450M amortising facility into a new senior secured debt facility (Facilities) of A$900M underwritten by ANZ, CBA and NAB; and
— Cash of A$271.9M sourced from IGO’s existing cash reserves of A$552M (as at 30 September 2021)
• Transaction costs include estimated stamp duty, due diligence, adviser and finance costs

• Details of the Facilities include:
— Seven semi-annual repayments of Facility A commencing June
2022 and ending 30 April 2025
— Bullet repayment of Facility B on 30 April 2025
• Competitive finance costs and terms that are customary of facilities of this nature


__________
Post-acquisition, IGO will retain a strong balance sheet with modest gearing
• IGO will fund the Transaction with new debt of A$900M and A$272M of existing cash
• Post Transaction completion, IGO will also assume Western Areas existing cash of A$148M1 upon completion
• IGO will have pro forma net debt of A$472M and modest gearing of 5.5% (Net debt/EV)