Loan Agreement Amendment

RNS Number : 6742M

Athol Gold and Value Limited

19 September 2012

 



 19 September 2012

ATHOL GOLD & VALUE LIMITED

("Athol" or the "Company")

LOAN AGREEMENT AMENDMENT

Further to the announcement dated 19 June 2012, the Board of Athol announces that it has reached agreement with Rivington Street Holdings plc ("RSH") to amend the repayment terms of the £575,000 deposit provided as a secured loan ("Loan") under the original heads of agreement with RSH to acquire Oilbarrel.com Limited ("Oilbarrel").

Under the new terms, RSH shall pay to Athol the sum of £158,944.44 on 19 September 2012 ("First Instalment"), such payment being comprised of £150,000 of the principal amount of the Loan plus £8,944.44 of accrued interest.

 

Following the completion of the First Instalment, interest shall accrue at 7% per annum on the outstanding principal amount of £425,000 of the Loan.

 

RSH undertakes to repay the balance of the Loan plus accrued interest in two tranches to Athol as follows:

 

·     the sum of £200,000 on 31 October 2012 plus interest accrued from 20 September to 31 October 2012;

 

·     the sum of £225,000 on 10 December 2012 plus interest accrued from 1 November to 10 December 2012.

Athol will retain a charge over the shares and the assets of Oilbarrel until such time as the Loan is repaid in full.

The Company is in the final stages of negotiations with Webb Capital Asset Management Limited regarding the exchange of some of its investment holdings with units in the Webb funds, as referred to in the announcement dated 17 August 2012, and is hopeful of completing a transaction soon.

For further information please call:

Athol Gold Limited
Jennifer Allsop	[phone]
Libertas Capital
Sandy Jamieson	[phone]
XCAP Securities plc
John Grant / Jon Belliss	[phone]

 

END

 

 

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