Annual Report and Accounts 2013
Petra Diamonds Limited 117
Overview
Performance Review
Strategic Review
Sustainability
Corporate Governance
Group Accounts
20. Issued capital
continued
Allotments during the prior year were in respect of the exercise of 3,464,259 warrants held over ordinary shares by RBC Capital
Markets and Rand Merchant Bank (“RMB”) and the exercise of 2,316,162 share options held by employees.
Warrants
Holder
Expiry
Exercise
price
(pence)
2013
Number
of warrants
2012
Number
of warrants
International Finance Corporation
2 November 2012
90
2,100,000
International Finance Corporation
2 November 2013
95
2,100,000
2,100,000
International Finance Corporation
2 November 2014
100
2,100,000
2,100,000
During the year warrants over 2,100,000 ordinary shares were exercised by the International Finance Corporation at an exercise
price of 90 pence.
In the prior year, warrants over 3,464,259 ordinary shares were exercised by RBC Capital Markets and RMB. RMB exercised
2,100,000 warrants over ordinary shares at an exercise price of 100 pence and RBC Capital Markets exercised 1,364,259 warrants
over ordinary shares at an exercise price of 80 pence.
The Black-Scholes methodology was used to value the warrants on issue.
21. Interest-bearing loans and borrowings
US$ million
2013
2012
Current
Bank loan – secured (i)
1.4
Bank loan – secured (ii)
28.8
Bank loan – secured (iii)
5.3
11.3
Bank loan – secured (iv)
1.6
10.8
37.1
22.1
Non-current
Bank loan – secured (i)
23.6
Bank loan – secured (iii)
52.8
19.9
Bank loan – secured (iv)
33.5
23.4
Associate loans
3.6
109.9
46.9
(i) Bank loans – secured
FirstRand, Absa and IFC – Revolving Credit Facility (“RCF”)
On 16 November 2012 the Company entered into agreements with FirstRand Bank Ltd (acting through its Rand Merchant Bank
(“RMB”) and First National Bank divisions), Absa Corporate and Investment Banking (“Absa”) (a division of Absa Bank Ltd and a
member of Barclays) and the International Finance Corporation (“IFC”) (a member of the World Bank Group) with regards to new
Group debt facilities. The new facilities replace all of the Group’s previous bank debt and working capital facilities.
The facilities comprise of a RCF of R300 million (US$30.4 million) and US$25 million. The RCF is available for draw-down up to
August 2018. The RCF bears interest at the South African JIBAR rate plus 5.5% (ZAR facility) and the United States LIBOR rate plus
5.5% (US$ facility). The RCF is repayable by September 2018. Only the US$ portion of the RCF was drawn down at year end. The
interest rate at 30 June 2013 is 5.7% (30 June 2012: nil%).
The RCF is secured on the Group’s interests in Finsch, Cullinan, Koffiefontein, Kimberley Underground and Williamson.
In the prior year, the Company (through its wholly owned subsidiary FDM) entered into an agreement with RMB (a division of
FirstRand Bank Ltd) with regards to debt facilities of R400 million (US$49.0 million). The facilities comprised a revolving credit
facility of R300 million (US$36.8 million) and a working capital facility of R100 million (US$12.2 million). These facilities have
been replaced as detailed above.
(ii) Bank loans – secured
FirstRand and Absa – Working Capital Facility (“WCF”)
As part of the new Group debt facilities, the Company’s previous WCF for its South African subsidiaries has been renegotiated
and increased to R500 million (US$50.6 million) (30 June 2012: R70.0 million (US$8.6 million)) with FirstRand and Absa. The facility
comprises a R350 million (US$35.4 million) overdraft facility and a R150 million (US$15.2 million) foreign exchange settlement line.
The facility is subject to an annual review and is repayable on demand. The loan incurs interest at the South African Prime rate
less 0.5%. The interest rate for the WCF at 30 June 2013 is 8.0% (30 June 2012: nil%).
The WCF is secured on the Group’s interests in Finsch, Cullinan, Koffiefontein, Kimberley Underground and Williamson.
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