Key points
- Spirit Resources SARL converted $3,901,110.53 of principal debt into 26,007,403 common shares at 15 U.S. cents per share, as approved by minority shareholders at the June 20, 2007 annual meeting.
- Spirit is controlled by Jean-Raymond Boulle, Diamond Fields’ largest shareholder, who held approximately 16.9 per cent of the company’s shares before the conversion.
- Following the issuance, Boulle holds 61,181,708 common shares, representing approximately 26.1 per cent of Diamond Fields’ 234,406,715 outstanding shares.
- Spirit released its security over Diamond Fields’ assets, including the first ship’s mortgage over the mining vessel DF Discoverer.
Further
to Diamond Fields International
Ltd.’s news in Stockwatch on June 22, 2007, Spirit Resources SARL has
converted all of the outstanding debt under its credit facility with the
company into common shares of the company. Spirit has converted the principal
amount of $3,901,110.53 into common shares of the company on the basis of
one common share for each 15 U.S. cents of principal, as approved by the company’s
minority shareholders at the annual general meeting held on June 20, 2007. As
a result, 26,007,403 common shares of the company have been issued to Spirit.
Spirit is controlled by Jean-Raymond Boulle, the company’s largest
shareholder, who, prior to the conversion of the Spirit debt, held
approximately 16.9 per cent of the company’s issued and outstanding shares. Following
the issuance of the 26,007,403 common shares to Spirit, Mr. Boulle holds,
directly or indirectly, a total of 61,181,708 common shares representing
approximately 26.1 per cent of the company’s 234,406,715 outstanding shares.
With the repayment of all amounts owing to Spirit under the credit
facility, Spirit has released all of its security over DFI’s assets and,
together with the company, will make the necessary filings to effect the
discharge of, among other things, Spirit’s first ship’s mortgage over DFI’s
mining vessel DF Discoverer.
Roger Daniel, the president and chief executive officer of the company, commented: “We are
pleased to report that Spirit has fully converted the outstanding debt under
the credit facility and, as a result, the company’s financial position is
significantly enhanced through the removal of substantially all of the
company’s non-trade debt from its balance sheet and the discharge of Spirit’s
encumbrances over the company’s assets, including its mining vessel DF
Discoverer.”
