Convertible and Equity Facility Draw Downs

RNS Number : 8959U

Kropz PLC

08 December 2021

 

8 December 2021

Kropz Plc

("Kropz" or the "Company")

Equity Facility and Convertible Equity Facility Draw Downs

Kropz Plc (AIM: KRPZ), an emerging African phosphate explorer and developer, is pleased to confirm that it has made its fourth draw down request under the US$ 5 million Equity Facility from ARC Fund ("ARC"), the Company's major shareholder  (which cannot exceed ZAR 85 million) ("New Equity Facility"), as announced on 26 February 2021 .

The fourth draw down request of US$ 400,000 under the New Equity Facility will be settled by the issue of 6,949,072 new ordinary shares at the issue price of 4.20 pence per share to ARC on 13 December 2021.

The proceeds drawn down from the New Equity Facility will be applied to the continuing workstream on the Hinda project and for general corporate purposes.

The next draw down of US$200,000 under the New Equity Facility is expected to be made on or about 10 March 2021. Following this drawdown, the New Equity Facility will be fully drawn down.

In addition, Kropz announced on 29 September 2021 that it had entered into a new conditional convertible equity facility of up to ZAR 200 million ("New ZAR Equity Facility"), with ARC, in order to deliver the Company's Elandsfontein phosphate project to first revenue. The first drawdown of ZAR90 million of the New ZAR Equity Facility was made on 26 October 2021.

The second drawdown of ZAR37 million of the New ZAR Equity Facility will be made on 10 December 2021. If required, the ZAR73 million remaining on the New ZAR Equity Facility will be drawn down in Q1 2022.

The Company will provide further updates on Elandsfontein and Hinda project progress in late Q4 2021.

Admission and Total Voting Rights

Application will be made for the 6,949,072 new ordinary shares to admission to trading on the AIM Market of the London Stock Exchange ("AIM"). It is expected that admission will become effective and that dealings in the new ordinary shares will commence at 8.00 a.m. on 13 December 2021 ("Admission").

On Admission, the Company's issued share capital will consist of 909,571,975 ordinary shares with voting rights. There are no shares held in treasury. This figure may be used by shareholders as the denominator for the calculations by which they determine if they are required to notify their interest in, or a change of their interest in, the Company under the FCA's Disclosure Guidance and Transparency Rules.

Change in Shareholding

Following issue of the 6,949,072 new ordinary shares, ARC will be directly interested in 760,893,082 ordinary shares of the Company representing 83.65 per cent. of the issued share capital.

For further information visit   www.kropz.com  or contact:

Kropz Plc
Mark Summers (CEO)	[phone]
Grant Thornton UK LLP	Nominated Adviser
Samantha Harrison Harrison Clarke George Grainger	[phone]
Hannam & Partners	Broker
Andrew Chubb Ernest Bell	[phone]
Tavistock	Financial PR & IR (UK)
N ick Elwes Jos Simson Oliver Lamb	[phone] [e-mail]
R&A Strategic Communications	PR (South Africa)
James Duncan	[phone] [e-mail]

About Kropz Plc

Kropz is an emerging African explorer and developer of plant nutrient feed minerals with phosphate projects in South Africa and the Republic of Congo. The vision of the Group is to become a leading independent phosphate rock producer and to develop into an integrated, mine-to-market plant nutrient company focusing on sub-Saharan Africa.

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